Online luxury group Yoox Net-A-Porter Group (YNAP) posted sales up 16.9% on an organic basis to €2.1bn in 2017 thanks to strong growth across all three of its main business lines.
The business also achieved strong EBITDA growth with the full-year adjusted figure hitting €169.2m, compared to €155.7m in 2016.
In-season multi-brand (which includes Net-A-Porter.com and Mr Porter.com) sales were up 51.8% at €1.08bn, while multi-brand off-season (The Outnet.com and Yoox.com) was up 37.8% at €789.6m. Online flagship stores (the ecommerce sites that YNAP operates on behalf of other luxury brands) were up 10.4% at €217.5m.
All three business lines achieved a strong Q4 with Net-A-Porter.com and Mr Porter.com boosted by the new “You try, we wait” shopping service being rolled out to New York and Hong Kong. Mr Porter also introduced its own label Mr P in the final quarter, which showed “strong customer traction and sales results”.
Geographically, all key regions achieved positive growth. The UK ended 2017 with net revenues of €286.8m, up 13.7% at constant exchange rates (+6.2% reported, due to the devaluation of the Euro/Sterling exchange rate). North America, the group’s number one market, posted full-year net revenues of €632.2m, up 12.8% on a constant currency basis. APAC was up 22.2% while Europe was up 12%.
Looking forward CEO Federico Marchetti said he was “excited about the growth opportunity in the Gulf region, as the joint venture between Mohamed Alabbar really kicks in this year. Our on-the-ground operations will offer Middle Eastern customers an unbeatable online luxury experience”.
He also said the group was looking forward to launching the online flagship stores for Ferrari and Balmain and scaling up opportunities for its NEXT ERA omnichannel platform with partner Valentino.
In January it was revealed that luxury group Richemont was bidding to acquire all the remaining share capital in YNAP that it doesn’t already control. Richemont is already the group’s largest single shareholder and initiated the merger of Yoox and Net-A-Porter (in which it held a controlling stake) in 2015. Last month Richemont requested that the review period for its bid be extended to enable it to include today’s figures in its offer document.