What: Mytheresa reports mixed first-quarter results for fiscal 2025, with sales rising 7.6% to EUR 201.7m despite losses widening to EUR 30m, as the company progresses toward its strategic acquisition of YNAP.

Why it is important: The results highlight the complex balance between growth and profitability in luxury e-commerce, as even successful platforms face mounting operational costs while pursuing strategic expansion through industry consolidation.

Mytheresa's first quarter of fiscal 2025 presents a nuanced picture of the luxury e-commerce landscape. While achieving net sales growth of 7.6% to EUR 201.7m, the company saw its operating losses more than double to EUR 30m compared to the previous year. Despite these challenges, the company demonstrated strong operational metrics, with average order value reaching a record EUR 720, representing a 9% year-on-year increase. EBITDA showed improvement with a positive margin of 1.4%, up from a negative 0.6% the previous year. The company maintains an optimistic outlook, forecasting full-year EBITDA margins between 3% and 5% and sales growth of 7-13%. This performance comes as Mytheresa prepares to integrate YNAP following their agreed acquisition, which will exchange a EUR 555m cash position for a 33% stake in the business.

IADS Notes: The luxury e-commerce sector is undergoing significant transformation in 2024. Mytheresa's acquisition of YNAP aims to create a EUR 4 billion revenue business by 2029, representing a major consolidation move in a challenging market. This comes as the industry faces growing pressure from brands' direct-to-consumer initiatives, with several multi-brand platforms struggling. However, Mytheresa's ability to maintain sales growth while improving EBITDA margins suggests a potentially sustainable path forward in the evolving luxury e-commerce landscape.

Mytheresa losses widen while sales rise