7th Jul 2015 06:25
LONDON (Alliance News) - ASOS PLC Tuesday reported growth in sales in the four months to June 30 in both its UK and international businesses and said that sales for the full year should be at the higher end of its guided growth range.
The online fashion retailer said that retail sales in the four months grew 20% on the same period the year before, with UK sales rising 27% and international revenue up 16%, all at actual currency rates. It said that the rise in international sales benefited from price investments which it is making to try to turn that part of the business around.
Total group revenue, which includes retail sales, delivery receipts and third-party revenue, grew 21% in the period.
ASOS added that retail gross margin was up around 280 basis points on the prior year.
"After accounting for our price investments during the period, the full-year gross margin is nonetheless expected to remain in line with last year, assisted by tighter inventory control and strong full price sales. We anticipate that sales for the full year will be at the higher end of our guided 15-20% growth range. We have increased investment in our people and our customer proposition, particularly in relation to free returns trials. We therefore expect earnings before interest and tax margin to remain at the guided level of around 4%," Chief Executive Nick Robertson said in a statement.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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