Shein’s UK business surged to £2.05bn in sales last year, up 32.3% on 2023, as the fast-fashion giant continues to outpace rivals while pushing ahead with plans for a Hong Kong stock market listing.
Latest accounts for Shein Distribution UK Ltd show pre-tax profit jumped 56.6% to £38.25m in 2024, as its low-cost, trend-led offering kept attracting budget-conscious shoppers.
The Singapore-headquartered retailer, founded in China, marked several milestones over the year, including the opening of new offices in King’s Cross and Manchester, a pop-up store in Liverpool, and a Christmas bus tour visiting 12 UK cities.
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Known for ultra-low prices, Shein has broadened its range beyond apparel to include toys, crafts and home storage, helping it chip away at market share from Asos and H&M.
However, the company flagged a number of challenges, including potential supply chain delays, currency fluctuations, rising freight costs and changing UK regulations.
It also warned that weaker consumer sentiment, fuelled by inflation and higher living costs, could impact future sales.
The business has been under political scrutiny in multiple markets over claims it benefits from duty exemptions on low-value imports.
The EU plans to scrap its €150 waiver, while Britain is reviewing its policy, amid concerns the rules give e-commerce players like Shein and Temu an advantage. In the US, the “de minimis” exemption has already been removed, pushing costs higher.
The retailer confidentially filed for an IPO in Hong Kong earlier this year, after shelving plans for a London listing, which faced political opposition and delays in securing Chinese regulatory approval.
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