Mayoral shuts down Hug&Claude after revenue decline and brand restructuring

Mayoral Group has decided to shut down its fashion brand Hug&Claude after acquiring it through its corporate arm, Indumenta Pueri. The move comes as part of a broader cost-cutting plan following a drop in revenue last year. The company is now clearing remaining stock and offering steep discounts ahead of the brand's closure.

Hug&Claude was founded by Carolina and Sancho García with a bohemian, relaxed aesthetic and an aspirational brand identity. It first launched in Madrid before expanding across Spain. At its peak, the label employed around 120 people, but restructuring began in 2023.

Mayoral, which bought Hug&Claude as part of a brand diversification push, reported a 7.5% revenue decline in 2024, bringing sales to €370 million. The group sold 28 million garments during that period. To streamline operations, Mayoral is now consolidating functions from its newer brands to reduce costs and boost profitability.

As part of the shutdown, Hug&Claude is liquidating its inventory, with discounts of up to 50% on its e-commerce site. Meanwhile, Mayoral is developing a new women's brand to replace Hug&Claude, offering a different style and market approach. The group's 2025 target remains €400 million in sales, alongside further expansion of its retail network.

The closure of Hug&Claude marks the end of a brand once known for its bohemian identity. Mayoral's focus now shifts to its new women's line and broader business recovery. The company aims to meet its financial goals while refining its brand portfolio.