Boohoo returns to growth, shares spike

(Sharecast News) - Shared in Boohoo Group soared on Wednesday, after the Debenhams-owner reaffirmed its outlook following a strong start to the year.

The online retailer, which also owns Karen Millen, MAN and PrettyLittleThing, said it returned to growth in the three months to May end, with gross merchandise value (GMV) up 0.5% year-on-year. May trading was "particularly strong", it added, with GMV jumping 8%, led by Debenhams and PrettyLittleThing.

The AIM-listed business is turning itself around following a difficult period, which saw sales slide in the face of increased competition and costs mount. It also fought off various attempts by leading investor Frasers Group to take control of the business.

Dan Finley, chief executive, said: "The first quarter marked the inflection point we have been working towards.

"This is the result of the heavy lifting of our multi-year turnaround: the move to an asset-light marketplace model, the warehouse consolidation, the cost reset and the rebuild of every brand on a single proprietary platform.

"That work is now translating into materially improved profitability."

He concluded: "With the cost out ahead of plan, and strong momentum carried into the year, the board's confidence has grown and we are reiterating our guidance of double-digit adjusted EBITDA growth in the 2027 full year."

As at 0830 BST, shares in Boohoo - which is seeking shareholder approval to change its name to Debenhams Group - were up 11% at 20.82p.

Boohoo's results for the year to 28 February 2026 are due to be released by the end of the month.

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