// Farfetch posts a loss after tax of £140m despite a rise in revenue
// Chief executive José Neves said the results represent “the first step towards achieving our plan for 2023, our ‘Year of Execution’”
Farfetch has posted an 8% rise in sales year on year to £448.5m for the three months to March 31 despite “continued headwinds from Russia, China and a stronger US dollar”.
The luxury fashion platform said improved inventory, partnerships with brands including Reebok and Ferragamo, alongside strong in-store sales contributed to the surge.
That boost comes after the business reported year-on-year sales drops in the past two quarters.
Despite this, Farfetch saw an adjusted EBITDA loss of £27.9m, which narrowed slightly from a loss of £28.7m in the same period last year, alongside a loss after tax of £140.5m for the period.
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The business said its marketplace “continued to offer customers the most extensive selection of in-season luxury fashion” on a global platform, and confirmed a record stock unit total of 17m during the period.
Farfetch chief executive José Neves said: “I am delighted to report that Farfetch was back to growth in the first quarter of 2023. Our first quarter results represent the first step towards achieving our plan for 2023, our ‘Year of Execution’, and demonstrate our strong execution in the face of continued macro headwinds.
Neves highlighted sequential improvement in GMV growth in the US and China, the retailer’s two largest markets, and said the firm remains on track to deliver on its plan for 2023.
Farfetch chief financial officer Elliot Jordan will step down by the end of 2023 amid warnings of “reduced demand” and a slowdown in sales in the luxury fasion retailer’s final quarter of 2022.
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