MUNICH - MYT Netherlands Parent B.V. (NYSE: MYTE), known as Mytheresa, has announced preliminary unaudited financial results for its third quarter ending March 31, 2024, showcasing double-digit growth and improved profitability. The luxury e-commerce platform also confirmed it is on track to meet the full-year financial guidance for fiscal year 2024, albeit at the lower end of the projected ranges.
For the third quarter, Mytheresa reported a Gross Merchandise Value (GMV) between €245 million and €255 million, marking an increase of 12% to 15% compared to the same period last year. Net sales are expected to fall between €230 million and €235 million, up 15% to 18% from the previous year.
The company also noted a significant improvement in its adjusted EBITDA margin, estimated to be between 3.0% and 4.0%, and its adjusted Operating Income margin, which is anticipated to be between 1.5% and 2.5%.
The positive performance reflects Mytheresa's strong market positioning and its ability to gain market share in a consolidating industry. Michael Kliger, CEO of Mytheresa, attributed the success to the company's community-building efforts and the creation of desirability through both digital and physical experiences.
Looking ahead, Mytheresa remains confident in achieving its full-year targets with GMV and net sales growth expected to be in the range of 8% to 13%, and gross profit growth projected at a similar pace. The adjusted EBITDA margin for the fiscal year is forecasted to be between 3% and 5%.
Mytheresa, which went public on the New York Stock Exchange, has established itself as a leading global luxury e-commerce platform, offering a curated selection of products across various categories. The company has expanded its luxury offerings to include home décor and lifestyle products, catering to a discerning client base in over 130 countries.
This article is based on a press release statement from Mytheresa.
InvestingPro Insights
As Mytheresa (NYSE: MYTE) continues to navigate the competitive landscape of luxury e-commerce, the company's financial health and market performance remain critical for investors. With a market capitalization of $308.56 million, Mytheresa's growth trajectory is reflected in its revenue expansion, which shows a 10.86% increase over the last twelve months as of Q2 2024. Despite not being profitable over the last twelve months, analysts are optimistic, with net income expected to grow this year, a sentiment that aligns with the company's own projections for improved profitability.
While Mytheresa's valuation suggests a poor free cash flow yield, its financial stability is underscored by its liquid assets, which exceed short-term obligations, and a moderate level of debt. These factors contribute to the company's resilience and potential for sustained growth. An encouraging sign for investors is the strong 22.64% return over the last three months, indicating a positive market response to the company’s strategic initiatives.
Moreover, with a P/E ratio of -10.65 and an adjusted P/E ratio of -10.33, the market seems to be factoring in future growth prospects. It is also worth noting that Mytheresa does not pay a dividend, which may be an important consideration for income-focused investors. For those interested in exploring further, there are additional InvestingPro Tips available, providing deeper insights into MYTE's performance and potential. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, and discover the full range of 9 InvestingPro Tips that could help in making more informed investment decisions.
Investors will be keen to learn more during the upcoming earnings call, where the preliminary results can be discussed in the context of these insights and the broader market dynamics affecting the luxury e-commerce sector.
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