MYT Netherlands Parent B.V. Q3 Earnings Call Highlights

Key Points

• MYT Netherlands Parent posted its second straight profitable quarter on an adjusted EBITDA basis, with group GMV up 0.3% at constant currency and adjusted EBITDA margin improving to 0.9% from a negative 3.2% a year ago.
• Mytheresa remained the growth engine, with third-quarter net sales up 9.9% at constant currency and U.S. sales surging 33.8%; the business also saw higher gross margin, stronger EBITDA, and improved customer metrics.
• Turnaround efforts continued at NET-A-PORTER, MR PORTER and YOOX, where margins improved and costs were cut, while management reaffirmed full-year guidance and medium-term targets for EUR 4 billion in net sales and a 7% to 9% adjusted EBITDA margin.

MYT Netherlands Parent B.V. NYSE: MYTE executives said the company, referred to on the call as LuxExperience B.V., posted a second consecutive profitable quarter on an adjusted EBITDA basis as its Mytheresa business continued to grow and turnaround efforts advanced at NET-A-PORTER, MR PORTER and YOOX.

Chief Executive Officer Michael Kliger said the group achieved 0.3% GMV growth at constant currency in the third quarter of fiscal 2026 despite what management described as headwinds from the outbreak of war in the Middle East in March. Chief Financial Officer Martin Beer said the group’s adjusted EBITDA margin was 0.9%, compared with negative 3.2% in the prior-year quarter.

Beer said group net sales were stable at constant currency in the quarter, while reported net sales declined 5.2% because of euro-U.S. dollar foreign exchange movements. For the first nine months of the fiscal year, net sales rose 1.6% at constant currency.

Mytheresa Drives Growth, Led by U.S. Momentum

Kliger said Mytheresa remained the group’s strongest growth engine, citing its focus on “wardrobe building, big-spending luxury customers” and full-price selling. Mytheresa net sales rose 9.9% at constant currency in the third quarter to EUR 256.0 million, Beer said. For the first nine months, Mytheresa net sales increased 12.0% at constant currency.

The U.S. remained a key contributor. Kliger said Mytheresa net sales in the U.S. grew 33.8% at constant currency in the quarter and accounted for 25.8% of Mytheresa net sales. In response to an analyst question, Kliger said North America continues to show strength, while Europe was supported by strong markets in the south of the region. He said Asia had shown “green shoots” of improvement.

Mytheresa’s gross margin increased 240 basis points to 47.1%, while adjusted EBITDA margin expanded to 5.5% from 3.9% a year earlier. Beer said adjusted EBITDA for Mytheresa rose 50% to EUR 14.1 million in the quarter.

Kliger also highlighted several customer metrics. Mytheresa’s top customer base grew 18.6% from the prior-year period, while average spend per top customer in GMV terms declined 1.5%. He said during the Q&A that the slight decline reflected the movement of many new customers into the top-customer cohort. Mytheresa’s last-12-month average order value rose 12.5% to EUR 847, and its internal Net Promoter Score reached 86.8%, which Kliger said was the highest quarterly score in four years.

NET-A-PORTER and MR PORTER Show Margin Improvement

For NET-A-PORTER and MR PORTER combined, net sales declined 5.1% at constant currency in the quarter to EUR 231.6 million. Kliger said the decline reflected a strategic focus on higher-value customers and reduced promotions. Europe excluding the U.K. increased 4.3% in net sales compared with the prior-year period.

Beer said the segment’s gross profit margin rose 700 basis points to 48.5%, helped by a higher share of full-price sales and reduced discounting. The segment’s adjusted EBITDA margin improved to negative 0.5%, compared with negative 2.5% in the first six months of fiscal 2026.

Management said cost reductions were a major part of the turnaround. Beer said SG&A expenses for NET-A-PORTER and MR PORTER fell EUR 5.6 million, or 8.9%, from the prior-year quarter, and declined EUR 9.0 million from the preceding quarter. He said warehouse closures had been executed, studio and customer care operations had been consolidated, and layoff programs in all jurisdictions were fully concluded, with the full effect expected in the fourth quarter.

Kliger said customer satisfaction continued to improve, with the segment’s internal Net Promoter Score rising to 68.1% in the third quarter from 65.3% in the second quarter and 62.3% in the first quarter. The last-12-month average order value for NET-A-PORTER and MR PORTER increased 7.9% to EUR 865.

YOOX Narrows Losses as It Focuses on Core Markets

YOOX net sales declined 7.4% at constant currency in the third quarter to EUR 130.7 million, which management said reflected the company’s effort to deprioritize overseas markets with high costs to serve and focus on a healthier core business. In Europe excluding the U.K., YOOX net sales rose 7.0%.

YOOX’s gross profit margin increased 620 basis points to 37.5%, while its adjusted EBITDA margin improved to negative 5.5% from negative 17.3% in the prior-year quarter. Beer said YOOX SG&A expenses decreased EUR 10.3 million, or 26.4%, from the prior-year quarter, despite stranded costs tied to the separation of THE OUTNET.

Kliger said YOOX also launched a new brand identity in March, including a new color scheme, layouts and tone of voice, with full implementation across app and website interfaces and offline packaging planned by year-end. Beer said the company expects YOOX to return to adjusted EBITDA profitability in 12 to 15 months and return to top-line growth in fiscal 2027.

Guidance Reaffirmed as Transformation Continues

Beer said the company expects full-year fiscal 2026 reported GMV of about EUR 2.6 billion and net sales of about EUR 2.5 billion. Management also expects to break even on adjusted EBITDA, consistent with prior guidance of negative 1% to positive 1%.

Operating cash flow for the first nine months was negative EUR 117.9 million. Beer said the company expects full-year operating cash burn to remain below its earlier maximum guidance of EUR 150 million, with fourth-quarter cash flow expected to be slightly positive. The group ended the quarter with EUR 436.1 million in cash and cash financial investments and total available funds of EUR 612.8 million, including revolving credit facilities.

Management also reaffirmed medium-term targets of EUR 4 billion in net sales, an adjusted EBITDA margin of 7% to 9% and a return to annual growth rates of 10% to 15%. The company said it closed the sale of assets powering THE OUTNET on April 30, allowing it to focus its off-price strategy on YOOX.

During the call, Kliger said the March geopolitical disruption affected customer sentiment globally and had a direct impact on customers in the Arabian Peninsula, including several days with no deliveries. He said the broader sentiment impact appeared short-lived, and that trading had returned to strong growth since the start of the following quarter, except for the specific regional effects in the Arabian Peninsula.

About MYT Netherlands Parent B.V. NYSE: MYTE

MYT Netherlands Parent B.V., through its subsidiary, Mytheresa Group GmbH, operates a luxury e-commerce platform for fashion consumers in Germany, the United States, rest of Europe, and internationally. It offers womenswear, menswear, kids wear, and lifestyle products. The company sells clothes, bags, shoes, accessories, and fine jewelry through online and retail stores. It serves high-income luxury consumers. The company was founded in 1987 and is based in Munich, Germany.

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