Hugo Boss AG raised its sales and profit guidance for 2023 after second-quarter results topped estimates on demand for its latest mens- and womens-wear collections.
The retailer now sees full-year sales of 4.1 billion euros ($4.5 billion) to 4.2 billion euros, up from a previous forecast of 4 billion euros, it said Wednesday. Operating profit is expected to grow by 20% to 25%, compared with an earlier outlook of 10% to 20%.
The company has been gaining market share after revamping its Hugo and Boss brands two years ago. Expansion in the US and Asia is also fueling growth. The company in June lifted its forecast for 2025 sales and profit.
Earlier this year, Hugo Boss intentionally increased inventory to reduce the impact of supply-chain snarls, which had disturbed deliveries during the pandemic. The company has said it expects to gradually return to a normal level of inventory over the course of 2023.
