Improved DC performance helps ASOS hit £1bn
ASOS burst through the £1 billion turnover barrier for the four months ending 31 December 2019, up 20% year-on-year.
ASOS burst through the £1 billion turnover barrier for the four months ending 31 December 2019, up 20% year-on-year.
Despite turnover increasing 13 per cent year-on-year e-commerce giant ASOS has reported a 68 per cent drop in pre-tax profit.
ASOS has warned that higher warehouse transition costs combined with lower sales will impact pre-tax profit, which is now expected to be in the range £30-35 million for the year.
ASOS saw its profits squeezed in the first half by increased costs due to investment in logistics and IT combined with a fall in gross margins despite a strong increase in sales.
ASOS has warned that it will deactivate accounts of customers if it finds they have returned clothes after wearing them.
ASOS has seen a 14 per cent increase in its UK retail sales three months to 28 February and 13 per cent increase in total retail sales.
ASOS is partnering with CollectPlus and On the dot, to provide a same-day delivery service to Leeds University campus.
Discounting in fashion retail cut average basket values at ASOS, driving up variable costs through both its distribution and warehouse cost lines, the e-tailer said in a trading statement for the first three months of its financial year.
Sales at online fashion retailer ASOS rose 26 per cent to £2.36 billion last year as the company started to reap the benefits of its investment in its fulfilment facilities internationally.
Online fashion retailer is investing in a KNAPP pocket sorter at its Berlin distribution centre.