Neiman Marcus Group reported a strong recovery in its year that ended July 31 as sales increased 33 percent to $5 billion, including sales from leased vendor shops.
The luxury chain also saw year-over-year “meaningful” gross margin expansion, supported by 80 percent full-price selling; this led to an 11 percent EBITDA margin for the fiscal year.
“We are very pleased with the strong performance delivered in fiscal 2022, which validates our ambitious strategy and our team’s impressive execution,” said Geoffroy van Raemdonck, CEO, NMG. “Our fiscal year concluded at the end of July, throughout which our teams worked diligently to achieve over 30 percent comparable sales versus the previous year and $495 million in Adjusted EBITDA.”
The retailer, who emerged from bankruptcy two years ago, said half of its stores posted record sales volumes, and almost 70 percent reached their highest revenue in over a decade.
Neiman Marcus said that during the pandemic, it held onto its customers and added younger GenX to GenZ customers as more people returned to everyday social lives.
The retailer’s top two percent of customers are “highly loyal,” van Raemdonck said, driving about 40 percent of total sales in its fiscal year.
The 36 Neiman Marcus stores and its Bergdorf Goodman stores in New York are located within 30 miles of 70 percent of the high net worth consumers in the U.S., van Raemdonck added.
Online digital properties grew total visits to 300 million in FY22, marking continued growth in its online business.
“Our enhanced data analytics and personalization are designed to scale customer engagement in an intelligent and informed way, giving them the flexibility to interact with us and buy based on their preferences,” van Raemdonck continued.
Photo courtesy Neiman Marcus