Asos full year sales up almost 20% to £3.26bn

ASOS FY sales up almost 20%
Asos saw pretax profit surge to £142 million for its full year.
// Asos UK sales rise 18% to almost £1.2bn
// Online fashion retailer made pre-tax profit of £142m for full year
// Asos outlook remains cautious while “economic prospects and lifestyles of 20-somethings remain disrupted”

Asos on Wednesday announced group sales for the year rose 19 per cent to £3.26 billion.

The online-only fashion retailer saw UK retail sales rise 18 per cent to £1.18 billion, while international retail sales rose 20 per cent to £1.99 billion.

In the 12 months to August 31, Asos saw its active customer base grow by 3.1 million people to 23.4 million, citing momentum in custom acquisition.

READ MORE: Asos launches first circular fashion collection

Profit before tax rose £109 million from the same time a year before, to £142.1 million, an increase of 330 per cent.

Speaking on the disruption caused by coronavirus, Asos said the initial challenges were from securing stock from suppliers who were locked down, or delayed freights that disrupted the supply chain.

Asos added that demand for occasion and formal-wear had remained constrained since the onset of coronavirus, although it had seen strong growth in its casual wear and lockdown-relevant product categories.

Looking ahead, Asos said it was prepared for the peak trading period with its warehouse capacity operating at normal levels whilst maintaining social distancing.

The online fashion giant noted that it had experienced a “solid” start to its current financial year, but that it was maintaining a caution on outlook for consumer demand, while the “economic prospects and lifestyles of 20-somethings remain disrupted”.

“After a record first half which saw us make progress in addressing the performance issues of the previous financial year, the second half will always be defined by our response to Covid-19,” chief executive Nick Beighton said.

“I am proud of the way Asos met this challenge head on, putting our duty to act as a responsible business at the heart of our approach and working to balance our performance in that context.

“As well as protecting staff, suppliers and customers, we’ve driven efficiency and have emerged a stronger, more resilient and agile business whilst delivering strong profit and cash generation.

“Whilst life for our 20-something customers is unlikely to return to normal for quite some time, Asos will continue to engage, respond and adapt as one of the few truly global leaders in online fashion retail.”

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