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Mytheresa reported 11.4 per cent net sales growth to €768.8 million and a 15 per cent GMV increase to €855.8 million in 2023, driven by top-spending customers and overperformance in the US.
Mytheresa grew its active customers by 10 per cent in 2023, while GMV from top-spending customers increased 30 per cent. Over the course of the year, the company shifted focus away from aspirational customers who shop luxury occasionally. Top-spending customers now represent 39 per cent of the share of GMV, up from 34 per cent last year and 32.6 per cent the year prior. In addition, the average order value has increased by €28 per shipment.
“[Top customers] are where the growth is, this is where the profitability is. [They’re the reason] why we can grow where others shrink,” Kliger told Vogue Business ahead of the earnings call.
“Aspirational customers have slowed down dramatically. Luckily we are over-indexing and therefore mitigating the effects of the aspirational customer, because we’re still growing double digits.” He added that he expects the holiday period to be slower with spending from aspirational customers decreasing further.
Gross profit margin in 2023 was 49.8 per cent, slightly below the 51.5 per cent for 2023. Adjusted EBITDA was €41.1 million with an adjusted EBITDA margin of 5.3 per cent. The company remained profitable.
In the fourth quarter, GMV grew 13 per cent to €222.2 million and net sales increased 16.5 per cent to €203.8 million. The fourth quarter saw overperformance in the US market, bucking the trend seen by other companies including Farfetch, LVMH, Richemont, Ralph Lauren, Ferragamo, Burberry, Prada and Moncler Group, which have reported a slowdown in the region. In the quarter, GMV in the US grew 40.8 per cent, the share of top-spending customers in the US grew by 64 per cent in 2024, and the number of first time buyers in the US grew by 44 per cent. Mytheresa’s approach has been to focus on regional events such as in Arkansas, North Carolina, Miami, LA and San Francisco, also offering personal shopping and styling suites in the US. European markets remained stable, while Kliger says Asia was “patchy” and continues to be uncertain.
Looking ahead at fiscal 2024, Mytheresa expects net sales, GMV and gross profit to each grow between 8 and 13 per cent, with adjusted EBITDA margin in the range of 3 to 5 per cent. The second half of the year is expected to be stronger than the first half as the market environment improves, and the company leverages its new infrastructure investments in warehousing and tech to boost the business.
On 4 September, Mytheresa started shipping customer orders from its new distribution centre, which had been in the works for two-and-a-half years initially due to pandemic-related warehousing challenges. The distribution centre is based in Leipzig airport, which allows for greater proximity to DHL’s international air freight hub, meaning the company will benefit from later cut-off times and faster return processing for international deliveries and additional flight options for US deliveries.
A new tech platform had been in the works for three-and-a-half years and went live in April. The platform upgrades Mytheresa’s e-commerce tech stack, migrating all websites, content management systems, merchandising and product information systems to a new service that is more scalable and allows for more speed, flexibility and personalisation.
“The warehouse and the tech will drive profitability and growth particularly next year,” Kliger told Vogue Business.
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