Luxury brands Hugo Boss and Richemont see China sales decline

Cartier-owner Richemont is facing slowing demand for its pricey products, particularly in China, where consumers have turned cautious as the economy falters

The German fashion company saw profits drop 40% to €70m during the period April to June. As a result it cut its profit guidance for the year citing weakness in China as well as the UK.

Shares in the German fashion company Hugo Boss plunged to the lowest levels since 2021 after the company slashed its profit guidance for the year, citing weakness in key markets such as China and the UK.

The brand is not the only luxury company seeing lagging sales in China as Cartier-owner Richemont also noted there has been a decline in the country, falling 27% over the last three months. Despite this, Richemont did post a slight rise in overall sales, with jewellery sales showing resilience, rising 4%.