DENVER, Colo. (247marketnews.com) -- LuxExperience (NYSE:LUXE) is heading into fiscal 2027 with something its sprawling luxury-commerce business has been working toward for the past year: accelerating sales growth, improving margins and a transformation plan that is beginning to show up across all three operating segments.
The company’s fourth-quarter numbers provide the clearest evidence yet that the turnaround is gaining traction. Q4 FY26 net sales increased 7.6% excluding foreign-exchange effects, or 6.1% on a reported basis, reaching €653.6 million. Adjusted EBITDA climbed to €13.6 million, producing a 2.1% margin and marking the third consecutive quarter of positive Adjusted EBITDA.
CEO Michael Kliger characterized the quarter as a major step forward, “We are very pleased with our Q4 FY26 and full FY26 results,” Kliger said, pointing to what he described as “tremendous progress” from the transformation plan over the previous 12 months.
The momentum is not confined to Mytheresa, historically the group's standout performer. Mytheresa delivered 10.2% ex-FX sales growth in Q4, while NET-A-PORTER and MR PORTER combined grew 5.6% and YOOX grew 6.6%. Each segment also improved its Adjusted EBITDA performance.
Mytheresa remains the engine. FY26 sales increased 11.5% ex-FX to €994.3 million, while Adjusted EBITDA surged 39.8% to €62.3 million. In Q4, the segment's U.S. sales jumped 39.3% ex-FX, highlighting the importance of the American luxury market to LuxExperience's expansion.
The more consequential development may be the turnaround at NET-A-PORTER and MR PORTER. The combined business posted both top-line growth and positive Adjusted EBITDA in Q4, with management citing full-price selling, customer engagement and cost discipline as key drivers.
The cost story is equally important. Group Adjusted SG&A fell from 21.9% of sales in Q1 to 17.6% in Q4, while acquisition-adjusted SG&A expenses declined €55 million, or 9.9%, for the full year. That operating leverage helped push acquisition-adjusted FY26 EBITDA €63.8 million higher to €10.8 million.
LuxExperience also finished the year with €442.7 million in cash and cash investments and no bank debt, giving management additional financial flexibility as it enters its next phase.
Management is raising the bar for FY27, as LuxExperience expects net sales growth in the mid-single-digit to high-single-digit range and an Adjusted EBITDA margin of approximately 2% to 3%. Longer term, the company continues to target €4 billion in annual net sales and a 7% to 9% underlying Adjusted EBITDA margin.
The company has also received authorization for a potential $50 million ADR share-repurchase program, although management is not obligated to repurchase shares and says timing and volume will depend on market conditions and other factors.
Kliger says the company is now “clearly on track” toward its medium-term targets and argues that LuxExperience is positioned to benefit from continued growth in digital luxury.
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