Simon Calvert’s Post

Asos plunges to £120m loss as sales nosedive amid turnaround plan Asos losses widened to £120m in its half year as sales plummeted amid its turnaround plan. Adjusted pre-tax losses fell by almost a third over the half to 3 March, as group sales were down 18%. Despite this, Asos reiterated its full-year guidance of a revenues fall of between 5 to 15% alongside positive adjusted EBITDA. The online retailer said it was ahead of plan with its stock reduction process, as it continued to push ahead with its turnaround plan. Asos offloaded 83% of its autumn collection, making it a 17% improvement from the same time last year. #asos #online #retailer #ecommerce #stock #sales #plan

Asos plunges to £120m loss as sales nosedive amid turnaround plan Asos losses widened to £120m in its half year as sales plummeted amid its turnaround plan. Adjusted pre-tax losses fell by almost a third over the half to 3 March, as group sales were down 18%. Despite this, Asos reiterated its full-year guidance of a revenues fall of between 5 to 15% alongside positive adjusted EBITDA. The online retailer said it was ahead of plan with its stock reduction process, as it continued to push ahead with its turnaround plan. Asos offloaded 83% of its autumn collection, making it a 17% improvement from the same time last year. #asos #online #retailer #ecommerce #stock #sales #plan

Shore Capital Markets expressed caution on ASOS PLC (LSE:ASC) shares following the online retailer’s half-year earnings and guidance. With sales down 18%, ASOS kept its full-year revenue guidance unchanged at a 5-15% decline, but Shore Cap said “there could be a risk of this now being closer to the lower end” unless the group sees a notable reverse in trading performance in the second half. Shore Cap sees full-year adjusted EBITDA falling 28% year on year to £89.5 million, with a margin of just 2.6%. “Set against a challenging consumer backdrop and tough competition from both online and omnichannel players, we believe ASOS could continue to see its gross margin under pressure,” said the broker. “Whilst we see some green shoots in terms of the wider disposable income backdrop over the medium term, we believe uncertainty remains and that ASOS will need to work hard to remain competitive and improve sales... More at #Proactive #ProactiveInvestors http://ow.ly/KguX105noGy

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Plenty in online retail will find this interesting, and, potentially, actionable, reading. #ecomm #ecommerce #ecommercewebsite #retail #ecommercestore #costs #onlineretail #returns #paymentmethods

ASOS.com are back in the news again this morning as they adjust their guidance on their profit outlook. The six month period to 3 September 2023 is now expected to generate profits at the bottom of the £40m - £60m range, which is lower than anticipated, due to a 15% drop in sales over the summer period. The turnaround process continues, with stock levels now 30% less than previously, enabling an improvement in liquidity. However, it goes without saying that sales need to hold up in order for the profitability to remain on track, so in an environment where retailers are competing for the discretionary spend, ASOS will need to stay relevant to maintain their market share. #turnaround #restructuring #retail https://lnkd.in/eYEzihzA

More tough times for ASOS, as a consumer I can really see they are struggling... 😢 It's been a tough summer for ASOS, with the British retailer warning over lower earnings due to wet weather hitting their summer sales. 🌧️ It's likely that ASOS' core markets in the UK and Europe have been affected, with customers likely to be more reluctant to buy summer clothing in the rain ☔️. The retailer is now turning its attention to the Autumn and Winter season, hoping that the weather will improve as we move through the year. 🤞 However, it's a reminder that the retail sector is still facing a number of challenges, including pricing pressure from competitors and changing consumer habits. 🤷♀️ #ASOS #RetailSector #WetWeather #SummerSales #Earnings #AutumnWinter

Asos warned this morning that full-year earnings would be at the bottom end of guidance as it reported a slowdown in sales amid a decline in customer numbers. Earnings before interest and taxes is expected to come in around the bottom of the £40 million to £60 million guided range, the troubled online fast-fashion retailer said as it updated investors before posting annual results in October. Adjusted like-for-like sales dropped 15 per cent in the three months to September 3, slightly worse than the 14 per cent decline seen in the prior quarter

ASOS.com has published its full year results, reporting adjusted group revenue of £3.54bn, an 11% decline year on year. Adjusted EBITDA has also fallen to £124.5m, a 59.4% decline year on year. Read the full story below. #fashion #retailnews #asos #etail #revenue #financialresults