LONDON (Reuters) – British online fashion retailer ASOS reported a first-half loss on Wednesday as it faces competition from Chinese giant Shein and excess inventory, but said it always expect improvement over the year.
The group also appointed former Sainsburys and Amazon executive Dave Murray as chief financial officer on Wednesday, hoping his experience in retail and e-commerce could help the company return to profitability. .
The company, which has struggled to recover since the pandemic, presented the current financial year as a period of transition, during which it will accelerate the launch of new collections and get rid of an accumulation of excess inventory which has weighed on sales. profits.
In the first half, ASOS recorded an adjusted Ebitda loss of 16.3 million pounds (19.12 million euros), compared to a profit of 4.6 million pounds for the same period last year.
For the full year, the group confirmed its forecast of positive adjusted Ebitda for sales which should be down by 5% to 15%.
“ASOS is becoming a faster, more agile business, and we reiterate our full-year guidance as we lay the foundation for sustainably profitable growth for the full year 2025 and beyond “, said José Antonio Ramos Calamonte, Managing Director of ASOS.
ASOS faces growing competition from fast fashion giant Shein, which is expanding rapidly in Europe, thanks to low prices and its quick response to changing trends.
(Report by Sarah Young; Federica Mileo, edited by Blandine Hénault)
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