Sales performance

Group sales increased by 43%, both on a reported and currency-adjusted basis, totaling EUR 2,786 million in 2021 (2020: EUR 1,946 million). Currency-adjusted sales thus remained only 1% below pre-pandemic levels (2019: EUR 2,884 million).

Sales by region

All regions contributed to sales growth, with Europe and the Americas recording a particularly strong performance, mainly due to a noticeable recovery in local demand.

Europe, including Middle East and Africa, recorded significant double-digit sales improvements in fiscal year 2021, driven by key markets such as the UK, Germany, and France. Despite being affected by long-lasting lockdowns and store closures in key markets, in particular the first half of the year, regional sales remained only 2% below 2019 levels.

The Americas also recorded significant double-digit revenue increases, driven by strong local demand as a result of a noticeable pick-up in consumer sentiment post lockdowns. In particular in the U.S. market, HUGO BOSS benefited from the successful execution of key initiatives to strengthen its product offerings at the point of sale, and from the expansion of the shop-in-shop network at important retail partners. For the full year, currency-adjusted sales in the Americas thus exceeded pre-pandemic levels by 4%.

In Asia/Pacific, momentum also picked up noticeably in 2021, as reflected by double-digit sales improvements compared to the prior year. Consequently, sales remained 3% below pre-pandemic levels. In this context, pandemic-related restrictions, including temporary store closures, temporarily weighed on consumer sentiment in various markets. Earnings Development, Sales and Earnings Development of the Business Segments

Sales by distribution channel

Sales in the brick-and-mortar retail business, including freestanding retail stores, shop-in-shops, and outlets, recorded a currency-adjusted increase of 43% in fiscal year 2021. On average, around 90% of the Group’s own retail stores were open, supporting growth accordingly. In addition, HUGO BOSS benefited from strong local demand as a result of noticeable improvements in consumer sentiment post lockdowns, particularly in Europe and the Americas. On a two-year-stack basis, the currency-adjusted decline in sales was thus limited to 9%.

In the brick-and-mortar wholesale business, currency-adjusted sales grew 37% in 2021. The increase mainly reflects the strong demand from partners for the BOSS and HUGO collections. Additional business with selected retailers in Europe also supported the sales development. Consequently, compared to pre-pandemic levels, the currency-adjusted decline in brick-and-mortar wholesale sales was limited to 16%.

The digital business of HUGO BOSS continued its strong double-digit growth trajectory also in 2021. Digital sales – including the Company’s own website hugoboss.com, digital pure players, leading marketplaces as well as bricks and clicks – increased by a total of 55% compared to the prior year, representing strong growth of 85% on a two-year-stack basis. All digital distribution channels contributed to growth, each posting significant double-digit sales increases. In the past fiscal year, for the first time, total digital sales thus added up to 20% of Group sales (2020: 18%).

Sales in the license business increased by 20% currency-adjusted compared to the prior year, reflecting double-digit growth across all major product groups, including fragrances, eyewear, and watches. On a two-year-stack basis, currency-adjusted sales remained 8% below 2019 levels as the lack of international travel continued to weigh on revenues in travel retail in 2021.

Sales by brand

From a brand perspective, both BOSS Menswear and BOSS Womenswear as well as HUGO recorded significant double-digit sales improvements, driven by strong growth across all wearing occasions. Growth was particularly driven by the brands’ ongoing strong momentum in casualwear, while formalwear sales also recovered noticeably in fiscal year 2021. The latter benefitted from the return of social events during the course of the year. Compared to 2019 levels, currency-adjusted sales were down 2% for BOSS Menswear and down 6% for BOSS Womenswear, while HUGO already returned to growth, posting an increase of 6%.

Network of own retail stores

In fiscal year 2021, the number of the Group’s own freestanding retail stores increased by a net six to 451 (2020: 445). A total of 26 BOSS stores, mainly in Asia and Europe, as well as six HUGO stores were opened during the year. Following business takeovers, six BOSS stores, including three in Thailand, have now also been added to the Group’s own store network. On the other hand, 32 stores with expiring leases were closed globally. This also reflects relocations within the same metropolitan areas.

Including shop-in-shops and outlets, the total number of retail points of sale operated by HUGO BOSS worldwide increased to 1,228 as of December 31, 2021 (2020: 1,157). Besides the additional freestanding retail stores, this mainly reflects the expansion of the Company’s shop-in-shop network to strengthen the brands’ presence with key retail partners, particularly in the U.S. market.

The total selling space of the Group’s own retail business increased 4%, amounting to around 168,000 sqm at the end of the year (December 31, 2020: 161,000 sqm). The noticeable business recovery in brick-and-mortar retail led to an increase in retail sales productivity of 39% to around EUR 9,200 per square meter (2020: around EUR 6,600 per square meter).