The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
LONDON, United Kingdom — Online fashion retailer ASOS said it would step up its investment in logistics and distribution after reporting a 27 percent rise in first-half sales on Wednesday and forecasting similar growth in the second half.
The British company, which targets twenty-something shoppers, reported retail sales of £1.13 billion, and pretax profit of £29.9 million, just shy of average market forecasts.
Chief executive Nick Beighton said the company was trading strongly, with visits to its site exceeding 1 billion in the six months to end-February for the first time.
"Alongside our investment in our people and our technology, we are accelerating investment in our distribution and logistics, laying the foundation for £4 billion of net sales," he said.
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The company said capital expenditure for the full year was now expected to be £230 to £250 million, an increase on the £200 to £220 million pounds it predicted in January.
It kept its forecast for around 25 to 30 percent reported sales growth for the year unchanged, along with its target of an operating profit margin of about 4 percent.
Analysts were expecting retail sales of £1.15 billion and pretax profit of £30.8 million for its first half, according to a consensus of 19 analysts.
By Paul Sandle; editor: Kate Holton.
From analysis of the global fashion and beauty industries to career and personal advice, BoF’s founder and CEO, Imran Amed, will be answering your questions on Sunday, February 18, 2024 during London Fashion Week.
The State of Fashion 2024 breaks down the 10 themes that will define the industry in the year ahead.
Imran Amed reviews the most important fashion stories of the year and shares his predictions on what this means for the industry in 2024.
After three days of inspiring talks, guests closed out BoF’s gathering for big thinkers with a black tie gala followed by an intimate performance from Rita Ora — guest starring Billy Porter.