ASOS posts sales growth of 30%

Asos
ASOS: London HQ

ASOS has posted total group revenues of £514.6m in the four months to 30 June 2016, a growth of 30% year on year.

The young fashion etailer said it had 12m active customers (defined as having shopped in the past 12 months) over the four-month period, which represents a growth of 25% year on year.

Chief executive Nick Beighton said the business was in a “strong financial position” and planned to “maintain our successful programme of reinvestment to take advantage of the opportunities currently available to us”.

CEO: Nick Beighton
ASOS CEO: Nick Beighton

Gross retail margin, however, had dipped during the period by 180bps, but this was explained by “planned price investment” and the moving forward of its sale by one week (other retailer to have recently posted trading updates, such as Marks & Spencer and John Lewis, also brought summer sales forward this year).

ASOS continued to perform well in its home turf of the UK during the period under review with UK retail sales up 28% at £201m. International retail sales were up 31% at £297.4m.

The business will post its full year figures for the 12 months to 31 August on 18 October and Beighton said ASOS “now anticipate full-year sales growth at the upper end of the 20-25% range. Our retail gross margin guidance of up to 50bps of investment remains unchanged and we remain confident in delivering current market PBT [profit before tax] expectations for the year.”

ASOS confirmed it had closed its dedicated China site during May and is now serving that market from its main site.