Strong start for Zalando in 2016

Strong start for Zalando in 2016

German online retailer Zalando has published its definitive first quarter results, showing that first quarter turnover grew nearly 25 % - below the pace of 2015.

Slower growth

Zalando's turnover grew 23.7 % in the first quarter, up to 796.1 million euro. This shows Zalando's turnover still experiences sizeable growth, but compared to the year before, it is at a slower pace. Back then, turnover grew 28.5 % in the first quarter and even 33.6 % in its full fiscal year. Its home region DACH (Germany, Austria and Switzerland) is still the company's largest market, with a 16.9 % turnover increase to 405.8 million euro, while turnover grew 26.3 % elsewhere, to 334.5 million euro.

 

Zalando's adjusted EBIT reached 20.2 million euro, a drop compared to the 29.1 million euro from the year before - partly caused by an EBIT margin drop from 4.5 to 2.5 %. Net profit dropped from 24.3 to 4.6 million euro because of additional investments: Zalando aims to invest 200 million euro this year, compared to 60 million euro last year.

 

Zalando's number of visits grew from 392.8 million to 479.5 million, with 62.3 % coming through mobile devices (up 10 % compared to the year before). Its number of active customers has also grown, from 15.4 million to 18.4 million, although their average spend dropped slightly, from 68 to 66.5 euro.