Transparent handling of risks and opportunities as part of the risk management system
No going concern risks to the Group identified
Exploiting business opportunities important element for sustainable increase in enterprise value
The success of HUGO BOSS is based on the systematic exploitation of opportunities as part of the Group strategy. The risks and opportunities policy of HUGO BOSS is aimed at achieving the Group’s strategic and financial objectives. In addition to pursuing the target of securing the Group’s continuation as a going concern, it therefore primarily is aimed at successfully executing the “CLAIM 5” strategy and sustainably increasing enterprise value. The reporting of risks and opportunities in the combined management report refers to a one-year period.
Risk and opportunity management principles
The Company’s risk and opportunity management system comprises all measures of a systematic and transparent approach towards risks and opportunities. It aims to identify risks as early as possible, evaluating them adequately, limiting or avoiding them through suitable measures, as well as monitoring and documenting them. In this context, risks are defined as potential future developments or events that may lead to negative deviations from the planned operating result (EBIT). At the same time, the early identification and consistent exploitation of business opportunities is of particular importance as part of the successful execution of the Group’s strategy and essential for ensuring the Company’s long-term success. At HUGO BOSS, opportunities are defined as potential positive deviations from the planned EBIT, with appropriate measures initiated as needed to exploit them. Opportunities are always considered in conjunction with any associated risks. They are only pursued if they outweigh the associated risks and the risks are considered to be manageable and limited in impact.