6th May 2015 07:34
LONDON (Alliance News) - Online fashion retailer Boohoo.com on Wednesday said its pretax profit rose in the financial year to the end of February as revenue was buoyed by a good performance in the UK and Europe, although it cautioned that revenue growth moderated in the second half of the year in the face of heavy discounting on the UK high street.
Boohoo said its pretax profit for the year to the end of February was GBP11.1 million, up from GBP10.8 million a year earlier, as revenue rose 27% to GBP139.9 million from GBP109.8 million.
Revenue in the UK was up 33%, and it reported a 39% rise in the rest of Europe. Its rest of world operations outside of Europe produced a 7% revenue increase.
UK revenue growth moderated to 22% in the second half compared with 47% in the first, with the company blaming heavy discounting by high street retailers in the UK driven by the warm autumn weather.
The company did not pay a dividend in 2015.
The company said it had over three million active customers over the year, up 29% on its 2014 financial year, with 64% of its traffic coming from mobile devices, up from 47%.
It is in the process of investing in expanding its warehouse capacity by 33%, with this work expected to be completed by mid-2015, and has successfully implemented a new warehouse management system.
"We are pleased to report a year of significant progress on so many fronts. While delivering a result in line with our revised guidance, we have also taken major steps operationally to ensure boohoo is prepared for the anticipated growth ahead," said Mahmud Kamani and Carol Kane, Boohoo's joint chief executives.
Boohoo shares were down 0.7% to 27.813 pence on Wednesday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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