METZINGEN, Germany (Reuters) - German premium fashion house Hugo Boss (BOSG_p.DE) expects core profits to grow faster than sales this year as its restructuring efforts gain traction, it said on Monday 12 April.

To cushion the impact of what the company has called one of the most demanding years for the industry, Hugo Boss closed underperforming stores and some showrooms, renegotiated contracts with suppliers and stopped delivering to high-risk customers in eastern Europe while pushing overseas expansion.

As a result, it expects this year's earnings before interest, tax, depreciation and amortisation (EBITDA) to grow faster than sales, which it sees rising slightly, it said.

The suit maker already reported in February a 6 percent drop in full-year underlying EBITDA to 270 million euros (238 million pounds) on sales of 1.56 billion euros, down 7 percent.

Hugo Boss shares were flat at 28.50 euros by 8:54 a.m., in line with the German mid-cap index .MDAXI.

The company, in which private equity group Permira PERM.UL holds 88 percent of the voting rights, trades at about 15 times projected 2011 earnings, while Polo Ralph Lauren (RL.N), and Burberry (BRBY.L) are at a multiple of around 18, according to Thomson Reuters StarMine, which weights analysts' forecasts according to their track record.

Analysts blame lower visibility and sweeping management changes following the 2007 takeover by Permira for the discount.

(Reporting by Alexander Huebner, writing by Eva Kuehnen)