Zalando, Europe’s leading online platform for fashion, grew revenues in the first half of 2017 by 21-22% to EUR 2,071-2,089 million (HY 2016: EUR 1,713 million), according to preliminary figures.
The adjusted EBIT for the first half-year 2017 is expected to come in at €100-106 million, a margin of around 4.8-5.1% (HY 2016: €101 million or 5.9%).
In the second quarter of 2017 the company achieved revenues of €1,091 million-€1,109 million (Q2 2016: €916 million), growing by 19-21%. Zalando achieved an adjusted EBIT of €80-86 million, corresponding to an adjusted EBIT margin of 7.3-7.8% (Q2 2016: €81 million or 8.8%) for the same period.
Co-CEO Rubin Ritter said: “We are pleased with the performance in the first half of 2017 and continue to invest in order to meet our ambitious growth targets for the full year and beyond. In the fast-growing online segment, we continue to outperform the market and deliver on our 20-25% growth corridor. Our investments, for example in our fulfillment capabilities and the launch of our membership program Zalando Zet, are the cornerstones for future growth.”
Zalando Zet is a new program that offers customized premium services like faster delivery, including same day, pick-up of returns on demand as well as additional benefits such as personal fashion advice or early access to sales. In the first phase customers in four German cities (Berlin, Leipzig, Frankfurt, Hannover) will be able to test the service for three months, after which they can become members for €19 per year.
Zalando Zet is another example of the company’s continued customer focus: In 2008, Zalando revolutionized online shopping by introducing free delivery and returns within up to 100 days. Trying on goods at home as well as free shipping and convenient returns have been an integral part of Zalando’s offering ever since.
All figures reported herein are preliminary, full financial disclosure for the second quarter 2017 will be published on August 10, 2017.