LuxExperience executives said the company delivered a strong second quarter of fiscal 2026 (October to December 2025), marking an early milestone in its transformation following the acquisition of Yoox Net-a-Porter Group (YNAP). On the call, CEO Michael Kliger and CFO Martin Beer pointed to group-level top-line growth, improving profitability, and rapid operational progress across Mytheresa, Net-a-Porter and Mr Porter, and YOOX.
Group results: return to growth and positive adjusted EBITDA
Beer said LuxExperience reported group net sales growth of +1.1% as reported and +5.7% at constant currency for the quarter. Group GMV rose +0.2% reported and +4.7% at constant currency, which management described as a clear acceleration versus prior quarters.
Operating cash flow was +€118.5 million in the quarter, driven by seasonality. For the first half, operating cash burn was -€30 million. Beer said the company expects Q3 operating cash flow to turn negative due to seasonal dynamics and cash effects from layoffs, but reiterated expectations that full-year fiscal 2026 operating cash burn will stay well below €150 million.
LuxExperience ended the quarter with €543.6 million in cash and cash financial investments and total available funds of €724.2 million including undrawn revolving credit facilities. Beer said the business is operating debt-free and executing its transformation plan on a “fully funded basis,” with total cash outflow across all transformation years expected to range between €350 million and €450 million, and a goal to reach operating cash flow break-even in two years.
Mytheresa: above-market growth, higher margins, and U.S. strength
Kliger said the Mytheresa business continued to “outpace the industry,” driven by a focus on “wardrobe-building, big-spending luxury customers,” full-price selling, and high-touch service and events. In Q2, Mytheresa net sales increased +8.8% year over year (and +11.6% at constant currency) to €242.7 million, while GMV grew +9.9% (and +12.7% at constant currency) to €268.9 million.
The U.S. was a key growth driver: Kliger said Mytheresa net sales in the U.S. rose +22.9% year over year, with the region representing 23.3% of total net sales. He told analysts that U.S. growth was roughly 25% in constant currency (and “even over 30%” in his remarks).
Customer metrics also improved, with Kliger citing +13.5% growth in Mytheresa’s “top customer base” and +12.5% growth in average spend per top customer (GMV basis). The last-twelve-month average order value rose +12% to €824. Mytheresa’s internal net promoter score (NPS) increased to 83.7% in Q2 from 78.3% in Q1.
Beer said Mytheresa gross margin rose 140 basis points to 52.3%, driven by a higher full-price mix. He also noted that shipping and payment cost ratio rose year over year due to U.S. duties the company pays on behalf of customers; excluding duties, the ratio improved year over year, which he attributed to higher AOVs and lower negotiated shipping fees from greater group volumes. Mytheresa’s marketing cost ratio declined to 11.6% from 12.3%, and SG&A cost ratio fell 220 basis points to 11.7%, with SG&A expenses down -7.7% in absolute terms. Adjusted EBITDA margin expanded to 9.3% from 7.3%, and adjusted EBITDA rose to €22.6 million.
Net-a-Porter and Mr Porter: sequential recovery and near break-even profitability
Management said the luxury segment comprising Net-a-Porter and Mr Porter showed sequential improvement as a result of a new strategic focus on editorial inspiration, brand discovery, full-price selling, and cost discipline. In Q2, net sales declined -1% year over year to €277.1 million, improving from a -10.8% decline in Q1. On a constant currency basis, net sales grew +6%. GMV declined -1.9% (but grew +4.9% at constant currency) to €290.7 million.
Kliger said Europe (excluding Germany) grew +14.4% year over year, while the overall slight decline reflected prior underinvestment in merchandise by the former leadership team, and ongoing work needed in the shipping network and stock allocation. He said the company was already seeing improved results for the upcoming Spring/Summer 2026 season.
Customer KPIs improved as well. Kliger said average spend per “EIP” (extremely important people) increased +3.6%, last-twelve-month AOV rose +13.6% to €861, and Net-a-Porter’s internal NPS reached 65.3%, up 1,200 basis points from Q2 fiscal 2025.
On profitability, Beer said the segment’s adjusted EBITDA margin improved to -0.7% from -6.9% in Q1, describing the business as having “almost broke even” during the quarter. The SG&A cost ratio fell to 22.7% of GMV from 27.6% in Q1, and management said more savings should become visible in Q3 and Q4 as layoffs take effect. Beer also outlined operational work underway, including warehouse closures, adjustments to delivery models, and consolidation of studio and customer care operations, alongside a broader IT replatforming effort he said was on track “without a single delay.”
YOOX: European focus and improved customer satisfaction
For YOOX, executives said the business is being separated from the luxury segment and refocused on its “healthy core,” including a geographic emphasis on Europe and deprioritization of overseas markets with a high cost to serve. Beer said the company is discontinuing an “unprofitable marketplace model” and implementing a leaner operating model with simplified off-price technology.
In Q2, YOOX net sales declined -7.5% year over year to €125.3 million, a sequential improvement from a -16.6% decline in Q1. GMV fell -12.1% to €125.3 million, improving from -19.3% in Q1. Kliger said European net sales increased +13.9% year over year, which management attributed to the new geographic focus.
While top-line declined, management highlighted improving customer quality metrics. Kliger said top-spending customer average spend (GMV basis) rose +4.1%, last-twelve-month AOV increased +11.4% to €255, and internal NPS reached 50.2%, up from 34.5% in Q1 and 29.9% in Q2 fiscal 2025.
Profitability improved as YOOX adjusted EBITDA margin narrowed to -6% from -18.1% in Q1. Beer said SG&A cost ratio fell to 26.9% of GMV from 29% in Q1 and that additional cost benefits are expected in Q3 and Q4 as layoffs progress. Management said it expects YOOX to return to adjusted EBITDA profitability in 12 to 15 months and to return to top-line growth in fiscal 2027.
Guidance narrowed; medium-term targets reaffirmed
Based on first-half performance, Beer said LuxExperience narrowed its fiscal 2026 outlook. The company now expects:
- GMV and net sales of €2.5 billion to €2.7 billion (previously €2.4 billion to €2.7 billion)
- Adjusted EBITDA margin of -1% to +1% (previously -2% to +1%)
By segment, Beer said the company expects Mytheresa to grow high single digits in the second half and full fiscal year 2026; Net-a-Porter and Mr Porter to return to positive growth toward the end of the fiscal year, resulting in a low single-digit GMV decline for the full year; and YOOX to post a low-teens top-line decline as it continues restructuring.
Executives reiterated medium-term targets of €4 billion in net sales and 7% to 9% adjusted EBITDA margin. In response to an analyst question, Beer described the company’s “medium term” as fiscal years 2029 and 2030.
LuxExperience is now MYT Netherlands Parent B.V. (NYSE:MYTE) following the YNAP acquisition and ongoing transformation of its multi-brand digital luxury portfolio.
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.
