|Bid||37.22 x 144300|
|Ask||37.26 x 48600|
|Day's Range||36.64 - 37.37|
|52 Week Range||36.33 - 67.30|
|Beta (3Y Monthly)||0.65|
|PE Ratio (TTM)||11.83|
|Forward Dividend & Yield||2.70 (7.29%)|
|1y Target Est||N/A|
Shares tumbled more than 13 per cent in Frankfurt on Friday after Hugo Boss said its 2019 operating profits will fall as much as 5 per cent from 2018. In an update to markets late on Thursday, Hugo Boss also warned that its sales for the full year, adjusted for currency fluctuations, will only rise by “a low single-digit percentage rate”, a step down from its previous forecast.
Hugo Boss shares plunged 14% as the clothing maker said the market environment in North America deteriorated, and business in Hong Kong has been "substantially negatively affected" since the beginning of the political unrest and demonstrations. It's forecasting flat sales on a constant currency basis for the third quarter and 2% same-store sales growth. Its operating profit fell to 80 million euros from 92 million euros. It's now expecting 2019 sales in constant currencies to increase at a low single-digit percentage rate, vs. a prior forecast of the low end of a mid-single-digit percentage rise, and an operating profit between 330 million and 340 million euros vs. last year's 347 million euros. Hugo Boss previously forecast an operating profit at the lower end of a high single-digit percentage range.
(Bloomberg) -- Hugo Boss AG plunged to a nine-year low after the German suitmaker cut its full-year outlook on weakness in the U.S. and Hong Kong, casting doubt on Chief Executive Officer Mark Langer’s turnaround efforts.The guidance reduction comes two months after the suitmaker previously lowered its outlook, citing weak sales to tourists and pricing pressure in the U.S. Now the anti-Beijing protests in Hong Kong, which led to a plunge in visits by mainland Chinese luxury shoppers, are creating a new headache. The stock fell as much as 13% Friday morning.The company’s turnaround efforts have gone awry since it replaced its chief executive officer with then-chief financial officer Langer in 2016, as suitmakers struggle to adjust to the trend toward casual office attire. Hugo Boss set out a plan last year to shift toward a faster-fashion model, speeding up production, personalizing its clothes more and boosting e-commerce.“We see no end to this pressure,” wrote Piral Dadhania, an analyst at RBC Europe, slashing his price target by more than a quarter to 50 euros. “Hugo Boss is clearly not immune.”The announcement weighed on other apparel makers, with Burberry Group Plc shares diving as much as 4.1%. Ted Baker Plc fell as much as 3.6%.Hugo Boss had expected sales to grow faster in Asia, which has been driving the fashion industry’s sales. Luxury conglomerate LVMH said Thursday that sales in Hong Kong fell 40% in August and September.What Bloomberg Intelligence Says:“Hugo Boss’s profit warning still leaves it with a challenge in 4Q to meet new expectations of a 3% fall in 2019 reported Ebit, we believe, given underlying reasons behind the warning are still in place.” \-- Charles Allen, BI consumer retail analystClick here to read the pieceThe fashion house said it expects currency-adjusted sales to increase by a low single-digit percentage this year, down from previous guidance for an increase at the lower end of a mid-single-digit range. Sales in the third quarter were flat from a year earlier.The suitmaker also now expects a decline in operating profit to a range of 330 million euros and 340 million euros ($364 million to $375 million). It previously forecast an increase from last year’s 347 million euros.(Updates with Burberry shares.)To contact the reporter on this story: Eric Pfanner in London at email@example.comTo contact the editors responsible for this story: Eric Pfanner at firstname.lastname@example.org, John LauermanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
German fashion house Hugo Boss cut its 2019 earnings forecast again, citing weak demand in the United States and Hong Kong, and reported third quarter results that were below its expectations. "In North America, the market environment further deteriorated during the third quarter, ... Besides lower local demand, also sales generated with tourists decreased over there," it said late on Thursday. "Business in Hong Kong has been substantially negatively affected since the beginning of the political unrest and demonstrations," it added.
Hugo Boss expects full-year sales and earnings to come in at the lower end of its forecasts due to challenges in the U.S. market, despite strong sales growth in China, the German fashion house said on Thursday. Known for its smart men's suits, Hugo Boss has introduced more casual and sportswear styles to appeal to a younger audience, recently teaming up with former One Direction singer Liam Payne and Taiwanese-Canadian actor Mark Chao.
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Hugo Boss said the renovation of several major stores should revive sales growth after the German fashion house reported a drop in first-quarter earnings due to reorganisation costs, higher marketing spending and a strong U.S. dollar. Finance chief Yves Mueller said stores had already been reopened in New York and Tokyo, while the refurbishment of the company's biggest flagship store on the Champs Elysees in Paris, and a store in Chicago will be complete after the summer. "Store optimisations will drive performance," Mueller told a conference call for analysts.
German fashion house Hugo Boss said it expected its operating profit to rise faster than sales in 2019, predicting strong momentum in its online business and Asia. Known for its smart men's suits, Hugo Boss has introduced more casual and sportswear styles to appeal to a younger audience and invested heavily in its online offer after a bid to go upmarket backfired a few years ago. "We are ensuring profitable growth in 2019 and beyond.
Shares in German fashion house Hugo Boss (BOSSn.DE) jumped on Tuesday after it reported sales growth picked up at the end of 2018 across its stores, online and at its wholesale business, which benefited from a shift in deliveries to the quarter. Known for its smart men's suits, Hugo Boss has introduced more casual and sportswear styles to appeal to a younger audience and invested heavily in its online offer after a bid to go upmarket backfired a few years ago. Hugo Boss said on Tuesday sales rose a currency-adjusted 6 percent in the fourth quarter to 783 million euros ($889 million) in the fourth-quarter, beating average analyst forecasts for 762 million euros, according to Refinitiv data.
The German outfitter to affluent professionals has set out its stall for the next four years. The company said Thursday it aims to lift sales growth excluding currency movements from 4 percent this year to an annual 5-7 percent by 2022, and forecasts the operating margin will increase to 15 percent from the 12 percent estimated by analysts for 2018. The current consensus indicates a compound annual growth rate of 4.6 percent over 2019-2020, according to Luca Solca, analyst at Exane BNP Paribas.
German fashion house Hugo Boss (BOSSn.DE) set new targets to accelerate sales growth and lift profitability on Thursday as it seeks to react faster to trends, expand in Asia and quadruple the size of its own online business by 2022. After Mark Langer took over as chief executive in 2016, the company known for its smart men's suits abandoned his predecessor's bid to go more upmarket and instead trimmed prices, launching more casual styles and investing heavily in its online offer. Ahead of an investor day, Langer said he sees big growth potential for its trendier Hugo brand, which now accounts for 15 percent of sales, and for the group's business in Asia, where 20 percent of sales should come from in 2022, up from 15 percent now.