German online retailer Zalando's growth has exceeded the 30 % mark in the second quarter of its fiscal year. That is even better than anticipated, the company says.
Lower EBIT margins
Preliminary numbers show that second quarter turnover grew 33 to 35 % to 727 - 738 million euro, where it only reached 546 million euro a year ago. Zalando's adjusted EBIT is now somewhere between 22 and 37 million euro, with EBIT margins between 3 to 5 %. Last year's EBIT margins were higher, at 6.4 %, which meant that its adjusted EBIT was also slightly higher, at 35 million euro.
Zalando's turnover in the first half of 2015 reached 1.37 to 1.38 billion euro, a 31 to 32 % increase compared to last year, when it managed a 1.05 billion euro turnover. According to the company, it is now reaping the benefits of its investments to consolidate long-term customer purchases. "Temporary higher costs" were the cause of its lower EBIT margins, it said.
"With these figures, Zalando continues to deliver a unique combination of growth at scale and profitability. Re-accelerating our growth close to 35 per cent is an extraordinary achievement of our team", Rubin Ritter, member of Zalando's board, stated.
The final numbers for the second quarter will be released on 13 August 2015.