ASOS sales beat City expectations
ASOS defied the doubters with a 21% rise in sales in the first-half of the online fashion retailer’s financial year.
The AIM darling racked up sales of £667.3 million, an increase of more than 20% and up 25% once exchange rate movements are stripped out. The result was above analyst expectations of £663 million.
Pre-tax profits surged 18% to £21.2 million, which was also better than the market was anticipating.
Sales were impressive in the UK, the EU and the US – the groups’ key markets.
Chief executive Nick Beighton, who took over from founder Nick Robertson in September, said: “We've had a good start to the year and I'm pleased with progress on a number of fronts. These results demonstrate improving momentum in the business.”
Beighton confirmed the group was on track to meet sales and profit guidance.
Last week, the company revealed it was pulling the plug on its in-country operations in China, where it made a £2.7 million loss in the first half. ASOS said it expects further losses of £1 million before trading there ends as it took a £10 million write-down as previously warned.
