Tommy Hilfiger posts record results

Group sales increased 14.4 per cent to €1.34 billion (£1.06 billion) and EBITDA soared 23.9 per cent to €268 million (£211.6 million).

Sales growth was driven by Tommy Hilfiger’s European division, where sales rocketed 22.8 per cent to €707 million (£558.2 million).

Both Tommy Hilfiger’s wholesale and retail business in the region recorded “strong double-digit growth”. Retail sales were up 26.4 per cent and like-for-likes climbed 3.8 per cent.

Sales in North America, where Tommy Hilfiger has been repositioning the brand and reversing decline, were up 2.5 per cent to US$836 million (£425.2 million). Like-for-like retail sales were up 6.7 per cent for the year. Wholesale sales fell 11.4 per cent

Revenues at Tommy Hilfiger decreased 2.1 per cent in Canada and double-digit growth was recorded in the rest of the world, with strong performances from Japan, Korea and Latin and South America.

Tommy Hilfiger – which opened 140 standalone stores during the period, taking its global store numbers to 796 – will begin its partnership with US department store Macy’s in the autumn.

During the period, it acquired former licensees Tommy Hilfiger Japan and Tommy Hilfiger Europe Footwear. The retailer has also signed a lease for a global flagship store on Fifth Avenue in New York.

Chief executive Fred Gehring said: “Not only does our global forward order book show a double-digit increase for the fall of 2008, our US business at our retail stores and at Macy's has performed exceptionally well throughout the year and in the currently challenging economic environment.

“The group is now perfectly aligned globally and is strongly positioned for continued global expansion.”