Online fashion retailer Asos has experienced strong growth of sales over the past four months, mainly driven by Black Friday. Turnover rose by some 20%, thanks to 27.7 million orders.
Record sales
Asos increased its turnover in the four months leading up to 31 December 2019 by a fifth to 1.11 billion pounds (1.31 billion euros). Analysts took 15% growth into account, writes newspaper Les Echos. Revenues increased in all regions where the retailer is active. The increase was highest in the United States (+23%). The number of orders also increased by 20% to 27.7 million. According to Asos, sales broke all records during Black Friday.
The sharp increase in turnover is a boost for Asos. After all, in July last year, the fashion company still had to send out a profit warning after logistical problems in Europe and the United States. In recent years, however, the operating margin of the British e-tailer has systematically decreased from 4 to 1.3% last year.
“Asos has delivered an encouraging start to the year. Strong customer acquisition activity supported by robust operational performance has driven good momentum in all our markets. As we said in October, the focus for this year is to further enhance our capabilities and leverage the investments we have made. It is still early in the year and much remains to be done, but we are encouraged by the progress we have made so far. We remain confident in our ability to capture the substantial opportunity ahead of us,” CEO Nick Beighton commented.
