Asos profits on the up as it looks for strong end to year
Online fashion retailer Asos today said profits were up by nearly two thirds, putting it on track to meet full-year forecasts.
The firm made a pre-tax profit of £7 million in the six months to September 30, up 59% from £4.4 million in the period last year.
Revenue was up 45% to £139.7 million, while retail gross margin rose 2.8 percentage points to 47.4%.
"As we head into the important Q3 trading period, we remain positive about the outlook for the second half and expect our full year results to be in line with market expectations," said chief executive Nick Robertson.
Asos enjoyed soaring sales throughout the recession, targeting 18 to 34-year-old women with clothes based on the designer looks of celebrities such as Kate Moss, Sienna Miller and Alexa Chung but at a fraction of the price.
The firm launched a website in the US in September and since the first half ended has gone online in France and Germany. It sees these as key milestones in its international expansion.
Shares in Asos have more than doubled over the last six months, fuelled by buoyant trading and speculation that the firm could attract a bid from companies as diverse as Marks & Spencer, Tesco, Amazon and Danish shareholder Bestseller.
