Mytheresa, a renowned luxury e-tailer, is currently experiencing financial challenges despite an increase in its sales and profitability metrics. The company’s recent financial outcomes reveal a complex scenario where net sales are rising even as losses swell.
- During the first quarter of the 2025 financial year, Mytheresa saw its net sales increase by 7.6%, reaching €201.7 million (£168.7 million).
- Exclusive collaborations with top-tier luxury brands like Loewe and Chloé contributed to the company’s allure, while high-profile customer events bolstered engagement.
- The average order value witnessed a remarkable 9% increase, setting a new record of €720 (£603).
- However, a significant rise in operating losses, increasing by 123% compared to the previous year, poses a substantial challenge for the company.
Commencing its 2025 financial year on a positive note, Mytheresa reported a 7.6% increase in net sales, amounting to €201.7 million for the quarter ending on 30 September. This growth can be attributed to strategic launches of exclusive capsule collections with luxury labels like Loewe, The Row, and Chloé. Furthermore, intimate customer events, such as a dinner reception with designer Simone Rocha, helped enhance the brand’s appeal.
An increase in the average order value by 9%, reaching a record €720, highlights consumer confidence and spending capacity in luxury goods, even amid broader economic challenges.
Despite these promising indicators, Mytheresa faced a widening in operating losses, which more than doubled to €30 million, reflecting a 123% rise compared to the previous year. This increase is indicative of a challenging trading environment that continues to test the resilience of fashion retailers.
However, the adjusted EBITDA painted a slightly more optimistic picture. Improving by 200 basis points, it swung back to positive territory with a margin of 1.4%. This is a significant recovery compared to a negative 0.6% margin recorded a year ago.
Looking to the future, Mytheresa expects its full-year EBITDA margin to land between 3% and 5% by 30 June 2025. They also anticipate a year-on-year sales growth of 7% to 13%, reflecting an ambition to sustain and leverage their unique market position.
Adding to their strategic ventures, Mytheresa has entered an agreement to acquire Yoox-Net-A-Porter from its owner Richemont. This transaction, exchanging a 33% stake in the business for a cash influx of €555 million, is slated for completion in early 2025.
CEO Michael Kliger remains optimistic, emphasising the company’s steady business momentum, strong customer relationships, and the unique attribute of profitable growth despite industry headwinds. He stated, “Our strong growth with top customers, our record high AOV, our improved gross margin, and the excellent customer satisfaction scores all highlight the fundamental health of our business.”
Mytheresa strives to overcome operational losses by leveraging strong sales growth and strategic acquisitions in a competitive retail landscape.
