German luxury etailer Mytheresa has reported significant financial milestones and challenges in its latest fiscal year results.
- The company saw a 9.8% increase in net sales, reaching €841m (£710m), primarily driven by a 25% growth in the US market.
- Despite this growth, a decrease in gross profit margin contributed to a 46.4% increase in net loss, reaching €24.9m (£21m).
- Mytheresa’s adjusted EBITDA fell by 32.8% to €25.8m (£21.8m), reflecting changes in profitability dynamics.
- Looking forward, Mytheresa anticipates continuous sales growth and an improvement in its adjusted EBITDA margin.
Mytheresa, a prominent figure in the luxury e-commerce sector, has reported a successful fiscal year, marked by a 9.8% increase in net sales to €841m (£710m). This growth was significantly driven by a robust 25% increase in the US market, underlining Mytheresa’s expanding reach and influence across international borders.
However, despite the positive sales figures, the company faced a decline in its gross profit margin, which slipped from 49.6% to 45.7%. This reduction in profitability has resulted in an increased net loss, which surged by 46.4% to €24.9m (£21m). The financial strain highlights the challenges Mytheresa faces in balancing expansion with maintaining profit margins.
The company’s adjusted EBITDA, a measure of overall financial performance, dropped by 32.8% to €25.8m (£21.8m). These figures suggest a shift in profitability dynamics, pointing to higher operational costs or strategic investments aimed at long-term growth.
During the fiscal year, Mytheresa engaged in various customer-centric initiatives. It hosted a series of exclusive events in collaboration with renowned luxury brands such as Valentino, Brunello Cucinelli, Bottega Veneta, Saint Laurent, Loewe, and Gucci. These events were aimed at reinforcing customer loyalty and elevating the brand’s standing in the luxury market.
Looking ahead, Mytheresa projects continued growth for the next fiscal year ending 30 June 2025. The company expects an increase in both gross merchandise value (GMV) and net sales, ranging between 7% and 13%, alongside an adjusted EBITDA margin forecasted to be between 3% and 5%. Michael Kliger, the Chief Executive of Mytheresa, expressed satisfaction with the progress and highlighted the company’s focus on high customer satisfaction and record average order value.
The fiscal year results underscore Mytheresa’s strategic focus on growth amidst challenges in profitability, with optimism for future expansions.
