German fashion e-tailer Zalando can look back on a wonderful first quarter: thanks to a brimming start of its spring collections, turnover will get a sizable boost and the company will have a profitable first quarter.
Turnover will reach 635 to 648 million euro
Europe's largest online fashion retailer expects its first quarter turnover to reach 635 to 648 million euro, according to a trading update from the company itself. In last year's first quarter, Zalando managed to break the half a billion euro milestone at 501 million, which means it would add another 27 to 29 % this year. That means the company is right on track: in March, it divulged that it had forecast a turnover growth of at least 20 % in 2015.
The best news however comes from its profits: based on preliminary numbers, EBIT (Earnings Before Interests and Taxes) will probably be between 25 and 39 million euro thanks to "higher margins". That is a huge improvement on the 23 million euro loss it incurred in last year's first quarter.
Full numbers will only be published on 12 May, so it remains to be seen what the final numbers will be. Zalando is currently active in 15 countries and has been on the Frankfurt stock exchange since October 2014.