Summary of LUXE Q4 2026 Earnings Call

1Key Financial Results and Metrics

Group Performance:

GMV growth of +2.9% at constant currency for FY 2026; +7.9% in Q4.

Group-adjusted EBITDA margin of +0.4% for FY 2026; +2.1% in Q4.

Cash and cash investments of EUR 442 million; no bank debt.

Significant cost savings in SG&A of EUR 55 million (-9.9%).

Segment Performance:

Mytheresa:

Q4 net sales growth of +10.2% (EUR 269.2 million); +11.5% for FY 2026 (EUR 994.3 million).

Adjusted EBITDA margin of 6.6% in Q4; improved from 4.9% to 6.3% for FY 2026.

NET-A-PORTER & MR PORTER:

Q4 net sales growth of +5.6% (EUR 273.9 million); +0.5% for FY 2026 (EUR 994.8 million).

Achieved positive adjusted EBITDA margin of 2.7% in Q4.

YOOX:

Q4 net sales growth of +6.6% (EUR 110.5 million); FY 2026 net sales contracted by -5.8%.

Adjusted EBITDA margin improved significantly from -19.8% to -10.5% in Q4.

2Strategic Updates and Business Highlights

Transformation Success: The company is on track with its transformation plan, showing positive results across all segments just 15 months after acquiring a distressed YNAP business.

Mytheresa's Leadership: Continued focus on high-value customers led to significant growth and profitability, with a strong emphasis on full-price selling.

NET-A-PORTER & MR PORTER Turnaround: For the first time since acquisition, both segments achieved positive growth and profitability, supported by improved customer economics and marketing strategies.

YOOX's Lean Strategy: Focused on core European markets, YOOX showed positive growth in Q4, with a strategic shift towards a healthier business model.

3Forward Guidance and Outlook

Fiscal Year 2027 Expectations:

Anticipated mid to high single-digit growth at group level.

Adjusted EBITDA margin expected to improve to 2%-3%.

Mytheresa projected to continue high single-digit to low double-digit growth.

NET-A-PORTER and MR PORTER expected to achieve mid-single-digit growth with margin improvements.

YOOX projected to remain in negative adjusted EBITDA but aims for break-even by FY 2028.

4Challenges and Points of Concern

YOOX's Performance: Despite improvements, YOOX still reported a decline in FY 2026 and is expected to continue facing challenges in profitability.

Regional Disparities: While the U.S. market is strong, Europe shows mixed performance, with some markets experiencing sluggish demand.

Inventory Management: Although inventory levels increased modestly, there is a need for careful management to avoid excess in a fluctuating market.

Customer Satisfaction Issues: NET-A-PORTER's NPS remained at 59.7% due to shipping backlogs, indicating operational challenges that need addressing.

5Notable Q&A Insights

Geographic Performance: The U.S. market is currently the fastest-growing for luxury, while Europe shows polarization in demand. The company is focusing on regions with stronger growth potential.

Marketing Spend: The investment in marketing is yielding positive results, with a focus on editorial content and improved customer engagement.

ERP Migration: The company is making progress on ERP upgrades with minimal disruption, indicating effective management of operational changes.

Future Profitability of YOOX: While YOOX is expected to remain in negative EBITDA, the company is focused on turning this around, with a clear strategy in place. This summary encapsulates the key points from the earnings call, highlighting both the successes and challenges faced by LuxExperience as it navigates its transformation and growth strategy.