RE: BOO booming up 10%17 Jun 2020 09:15
Boohoo reported "very strong" first quarter trading despite the Covid-19 pandemic, as it also unveiled two acquisitions.
Revenue was up 45% in the three months to May 31 at GBP367.8 million, with UK revenue up 30% at GBP183.0 million and sales in the rest of Europe surging 66% to GBP63.4 million. US sales rose 79% to GBP92.0 million, and Rest of World sales grew 22% to GBP29.4 million.
"The group entered the year with sustained momentum from a strong finish to its previous financial year. Trading in the middle of March through to early April was mixed, as a result of the impact of the Covid-19 pandemic, initially with a marked decrease in year-on-year growth. Performance across all of our brands and geographies improved throughout April, with a robust performance delivered in May," the online clothing retailer said.
Looking out, Boohoo expects to deliver another year of "strong profitable growth", and ahead of market expectations. Revenue growth is expected at 25% for the current financial year, with an adjusted Ebitda margin of 9.5% to 10%.
Alongside the trading update, Boohoo announced the acquisition of the online businesses and all associated intellectual property of Oasis and Warehouse for GBP5.3 million in cash from Hilco Capital. Administrators were called in for the two brands back in April. Deloitte at the time said that all stores would close indefinitely and online sales would be stopped.