Loss for Zalando despite decent turnover growth | RetailDetail

Loss for Zalando despite decent turnover growth

Loss for Zalando despite decent turnover growth

Despite Zalando's third quarter turnover growing significantly, the German internet giant has generated quite a big loss again. The company says it was a consequence of huge investments "in unique growth opportunities".

40 % turnover growth

First the good news: Zalando's turnover grew 41 to 43 % over the past quarter, it says in a quarterly update. Over the past three months, Zalando's sales reached 707 to 717 million euro, thanks to an increasing number of customers. The exact growth will however only be announced in November.


Zalando managed its first profit in 2014, but it is back to onerous ways now: its EBITDA was a 18 to 32 million euro loss, but CEO Rubin Ritter is not worried. "The results are in line with our strategy to invest into long-term growth. In the third quarter we saw unique growth opportunities to significantly beat our growth targets and tapped into these with full conviction. We remain committed to our profitable growth path, but are willing to trade in some profitability to accelerate our growth and gain market share."


Zalando, active in 15 different European countries, has altered its forecast on the back of this quarterly update: the turnover forecast was adjusted upwards and its profit forecast was adjusted downwards. It now expects turnover to grow 33 to 35 % (up from 28 to 31 %) and profit to grow 3 to 4 % (down from 4.5 %).

Questions or comments? Please feel free to contact the editors

German Otto Group continues to soar


German online company Otto Group saw its turnover grow 10.9 % to 7.76 billion euro in the past fiscal year. The former mail order company will continue to invest in start-ups and technology.

Decent profit increase for JD.com


Chinese online retailer JD.com has grown strongly in 2017: turnover grew nearly 50 % and it was profitable again. The company also expects to exceed a 30 % growth pace in 2018’s first quarter.

Rakuten ditches Priceminister brand


Rakuten has decided to get rid of its French brand Priceminister and absorb it into Rakuten, similar to what it did tot British Play.com.

Takeaway.com acquires Eastern European competitors


Fast food supplier Takeaway.com acquired its Bulgarian competitor BGmenu and its Romanian competitor Oliviera in yet another step towards its goal of being the European market leader.

Colruyt joins PostNL's grocery service


The mailman will deliver groceries every two weeks from now on: PostNL will collaborate with new grocery service Stockon in the Netherlands. A remarkable fact is that its private label brands are Boni, which is Belgian supermarket chain Colruyt’s private label.

Strong growth for Chinese e-commerce once again


There was another strong increase in the Chinese online market last year: compared to 2016, it achieved an astonishing 32 % growth. In that regard, China is performing exceptionally online.

Back to top