Shares in Zalando soared yesterday (16 April) as the German online fashion giant showed signs of recovery by saying it expects to post an operating profit for the first quarter of 2019.
The Berlin-based firm said it expects a positive adjusted EBIT in the single-digit millions, building on better-than-expected earnings in the fourth quarter, and a loss in the third quarter.
The company, which hailed a “strong finish” to a challenging year in its fourth-quarter earnings release last month, added it expects revenue growth approximately in line with market expectations of a 15.2% rise. Gross Merchandise Volume (GMV) is also forecast to be in line with market expectations at +23%.
“We are pleased with our performance in the first quarter, demonstrating that we are focused on strong execution,” said chief financial officer David Schröder. “These results are in line with the company’s full-year outlook.”
Zalando will report its financial figures for the first quarter on 2 May.
Last month, the e-tailer revealed plans to discontinue its own-brand zLabels business as part of a wider bid to refine its private label assortment.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData
