FRANKFURT, July 31 (Reuters) - German fashion house Hugo Boss said sales slowed in Asia in the second quarter of the year, although it maintained its outlook for the year as sales in Europe surged.
Demand from Asia has shielded luxury companies from the worst of the European slowdown, but with China’s economy on track for its slowest full year of growth since 1999, there are concerns over luxury sales.
Hugo Boss had warned back in April that the market in China had deteriorated.
The German company on Tuesday reported second quarter sales of 485 million euros ($594 million), a rise of 14 percent on a currency-neutral basis, compared with analyst forecasts for 462 million.
Sales rose by 17 percent in Europe, 11 percent in the Americas and just 4 percent in Asia. First-quarter sales in Asia were up 9 percent
Hugo Boss confirmed a forecast for sales to rise by up to 10 percent in 2012, and said on Tuesday it expected core profit to grow 10-12 percent.
It reported second-quarter earnings before interest, tax, depreciation, amortisation and special items (EBITDA) of 78 million euros.
$1 = 0.8168 euros Reporting by Victoria Bryan