Mytheresa continues to be a stable presence in online luxury amid a sectorwide slowdown.
The German e-tailer’s sales grew 8 percent to €202 million ($214 million) in the first quarter of its fiscal year that ended in September. Mytheresa’s formula of catering to its top spending customers with exclusive capsule collections from brands like Loewe and Moncler, along with money-can’t-buy events, boosted its bottom line. The company generated €5 million in adjusted net profits during the quarter, up from a €3 million loss a year earlier.
But Mytheresa is not immune to industrywide hurdles. Its revenue in Asia is still not growing as China remains a challenge for the broader luxury sector, Michael Kliger, Mytheresa’s chief executive said in an interview with The Business of Fashion. Other regions are proving to be more resilient: Sales in the US and Europe were up 14 percent and 9 percent in the quarter, respectively.
Mytheresa is also waiting for the EU’s approval of its merger with Yoox-Net-a-Porter. The deal, which is expected to close in the first half of 2025, could make Mytheresa the largest online luxury seller. And while the FTC blocked a merger between Coach-owner Tapestry and Michael Kors parent company Capri, experts don’t expect Mytheresa to face the same regulatory hiccup with the EU, where luxury consolidation is more common. Kliger also noted that Bain estimates that online luxury is a $70 billion market, and a combined Mytheresa and YNAP would only generate $3 billion in gross merchandise volume, a metric of sales done on the sites. But he added that the deal’s fate can’t be predicted.
“It’s out of our hands,” Kliger said. “We feel we have a solid case, but until it’s approved, it’s not approved.”
In the meantime, Mytheresa is focusing on its own growth potential. The company expects its net sales to rise as much as 13 percent for the full fiscal year that ends in June 2025. It’s also increasing its number of events dedicated to its male clients, including one with LVMH-owned menswear label Berluti at the luxury brand’s Parisian atelier in October. Momentum for the e-tailer’s menswear segment, which accounts for more than 10 percent of overall sales, continues to grow.
“One of the big learnings is: be focused,” Kliger said. “Who is your customer? Innovate how you reach them, how you make them valued, how you excite them. That’s where innovation should sit.”
