Sales Jump 33% at ASOS
LONDON -- The shares of ASOS rallied 3% to 3,170 pence during early London trade this morning after the online fashion retailer reported half-year sales growing 33% to 360 million pounds.
ASOS, whose product range is often dictated by the clothes worn by celebrities, revealed group profits had improved 11% to reach 25 million pounds.
The company said it had continued to rapidly expand overseas, with international sales advancing a further 39% and U.S. revenues boosted 54% to 35 million pounds. U.K. sales expanded 26% to 138 million pounds, underpinning the AIM-quoted retailer's strong growth in all regions.
The number of active ASOS customers grew 41% to 6 million, with more than half now located outside the U.K.
Commenting on the company's international expansion, chief executive Nick Robertson said:
Progress on our dedicated sites for both Russia and China remains on track. We are already seeing the benefits of this investment across all territories with increased customer awareness, increased shopper frequency, higher conversion rates, more items per basket and strong sales growth.
Momentum is strong, and we remain positive in our outlook for 2012/13 as we continue our journey to becoming the number one online fashion destination for twenty-somethings, globally. Our International roll-out continues and our 1 billion pound sales ambition for the Group is firmly in our sights.
After today's update, the shares of ASOS trade at an incredible 64 times expected earnings and pay no dividend.
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