Net-a-Porter Sales Up 5.6%, First Growth Post-Mytheresa Deal

Net-a-Porter Recovers with Elite Customer Strategy

LuxExperience, the parent company of luxury retailers Net-a-Porter and Mr Porter, reported a 5.6% increase in combined net sales, excluding currency effects, for the quarter ended June 30. This marks the first sales growth for the brands since Mytheresa acquired them in April 2025.

Despite this positive financial result, their active customer count declined by 11.1% over the past year. Michael Kliger, CEO of LuxExperience, indicated that the immediate objective is not broad customer acquisition but rather re-engaging high-spending individuals.

He noted that approximately 35,000 top shoppers currently exist, and the company aims to add around 3,000 more to this group. These customers are crucial, as the top 4.3% of Net-a-Porter and Mr Porter clients generated 49.1% of their combined gross merchandise value in fiscal 2026.

Operational Changes and Brand Initiatives

To attract and retain its key clientele, LuxExperience is implementing several strategic changes. Technical improvements include allowing US customers to access inventory from both US and Italian warehouses, enhancing product availability. The company also upgraded its email delivery system to improve customer communication.

On the fashion side, the fall-winter season represents the first collection assembled under Brigitte Chartrand, Net-a-Porter’s chief buying and merchandising officer.

Claudia Plant, chief brand and customer officer, is leading a renewed focus on social content and editorial initiatives, including Porter magazine covers featuring notable personalities like Serena Williams and Cindy Crawford. Client events, such as a recent New York Fashion Week gathering, are also part of the strategy to connect customers with designers and brand partners. These product and event initiatives are expected to show their full impact by late 2026 and early 2027.

Financial Performance and Future Outlook

Net-a-Porter and Mr Porter recorded an adjusted EBITDA of approximately $8.5 million (€7.4 million) for the quarter, achieving a 2.7% margin. CFO Martin Beer clarified that tariff refunds contributed 250 basis points to this margin. Even without these refunds, the segment would have shown a slightly positive adjusted EBITDA.

For the full fiscal year, the combined business posted an adjusted EBITDA loss of roughly $6.9 million (€6 million). Kliger anticipates the retailers will maintain profitability on an adjusted EBITDA basis through fiscal 2027, expecting the implemented changes to yield further positive results.

The company's immediate objective is to regain its position as the primary luxury shopping destination for its target customers.

eBay’s Luxury Resale Push and Asia Implications

Separately, eBay is expanding its luxury resale efforts, particularly during Fashion Month. Following the extension of its Authenticity Guarantee program to France and Italy, eBay plans showrooms in Milan and Paris.

These spaces will allow shoppers to view inventory and understand the authentication process for pre-owned luxury items, aiming to build confidence in cross-border luxury resale. London's “Endless Runway” show, now in its third year, offers a theatrical, shoppable event showcasing pre-loved pieces.

For Asia's beauty economy, the strategies of both Net-a-Porter and eBay show the increasing importance of customer retention, high-value client engagement, and the growing luxury resale market.

Asian luxury retailers and beauty brands could adapt similar strategies by focusing on personalized experiences and leveraging brand heritage to cultivate loyalty among their top spenders, while also exploring authenticated resale models for luxury beauty items to tap into sustainability-conscious consumers.