Investment Case
Reasons for an investment in HUGO BOSS
Two strong Brands
BOSS and HUGO – two strong brands, each targeting a clearly defined customer group through their brand presentation and distribution strategy. What their collections have in common is their high standard for quality, fit, innovation and sustainability.
Four Growth Pillars
Group sales are expected to outgrow the projected growth of the relevant market segment for HUGO BOSS in the coming years. The following drivers will contribute to this:
- Quadrupling of online sales
- Increase in retail sales productivity by an average of 4% per year
- Double-digit sales growth in Asia
- Overproportionate growth of HUGO
- Quadrupling of online sales
- Increase in retail sales productivity by an average of 4% per year
- Double-digit sales growth in Asia
- Overproportionate growth of HUGO
Focus on Margin Growth
The company targets to increase the EBIT margin from 12% today to 15% in the mid-term. This target will be achieved through an expansion of the gross margin and strict cost management of operating expenses.
Attractive Dividend Policy
HUGO BOSS offers an attractive dividend policy and intends to distribute 60% to 80% of Group net income in the form of dividends to shareholders.
Responsibility
Responsibility for customers, employees, business partners, shareholders and society: HUGO BOSS embodies conscious, value-oriented management.
Outlook 2019
| Preliminary Results 2019 | Outlook 2020 | |
|---|---|---|
| Group sales (currency-adjusted) | Increase of 2% to EUR 2,884 million | The Group will publish its financial outlook for the fiscal year 2020 on March 5, 2020. |
| Operating result (EBIT) | Decrease of 4% (without taking into account the effects of IFRS 16) |
Our strategy
Driving Brand Desirability
The successful realignment of the brands BOSS and HUGO has laid the foundation for sustainable profitable growth. HUGO BOSS will further increase the personalization of its offerings in the future and speed up central processes in the course of further developing its strategy. Overall aim is to become the most desirable premium fashion and lifestyle brand.
