MANCHESTER, United Kingdom — British online retailer Boohoo said its combination of fast fashion at low prices had got the group off to a strong start to the year, confirming its position as one of the winners in a brutal retail market.
Founded in Manchester, northern England, in 2006, Boohoo has expanded rapidly with the purchase of the PrettyLittleThing and Nasty Gal brands.
Its strong trading, along with that of bigger online peer ASOS, highlights how the internet has reshaped the British retail landscape. While traditional high street groups like Marks & Spencer and House of Fraser shut stores, the online-only groups are powering ahead.
On Tuesday Boohoo, which sells own-brand clothing, shoes and accessories online to a core market of 16 to 30-year-olds, said group revenue rose by 53 percent to £183.6 million ($245 million) in the three months to May 31.
It reiterated its full-year outlook of revenue growth of 35 to 40 percent and adjusted core earning margin between 9 to 10 percent.
"The scale of group revenue is aligning with our ambition to become one of the dominant global online retailers and our focus on profitability continues to deliver industry-leading margins," its joint CEOs Mahmud Kamani and Carol Kane said in a statement.
By Kate Holton; editor: Sarah Young.