// Zalando posts improved figures for the first quarter as it adapts to market conditions
// Its number of active customers also grew 4.8% versus last year to 51.2 million
Zalando has delivered growth and improved profitability in the first quarter, helped by rising demand at its online shopping club Lounge by Zalando.
The German online retailer said partners selling more fashion and beauty products on the company’s platform also helped boot sales.
It reported a 2.3% increase in group revenue year on year to £1.98bn in its first quarter, while gross merchandise volume jumped 2.8% to £2.81bn.
The number of active customers at the business also grew 4.8% versus last year to 51.2 million.
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The figures come “amid a continued challenging economic environment with high inflation,” it said, adding that “against this backdrop, the company’s focus on improving profitability is paying off”.
It said that “better order economics, primarily bigger basket sizes as customer spending remains resilient, led to lower fulfilment costs and a significant improvement in adjusted EBIT. The focus on profitable growth means the company is on track to meet its full-year guidance”.
Co-chief executive Robert Gentz said: “The first quarter demonstrated how flexible our business model is, enabling us to perform in a challenging market environment as we saw strong customer demand at our Offprice segment and a strong performance of the partner business,”
“Curated product drops with brands such as Adidas and Salomon or teaming up with designer brands to create capsule collections led to increased engagement with our customers. These exclusive and limited-edition products keep our customers coming back more regularly.”
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