Last checked at 10 Jan 2017 07:00
For Immediate Release 10 January 2017
boohoo.com plc - trading update for the four months to 31 December 2016
"The voice and style of the social generation"
Four months to 31 December | Ten months to 31 December | |||||||
£'000s | FY17 | FY16 | Increase | CER(1) | FY17 | FY16 | Increase | CER |
Total sales | 114,294 | 73,692 | 55% | 52% | 241,610 | 164,476 | 47% | 46% |
Sales by region | ||||||||
UK | 65,015 | 49,701 | 31% | 31% | 146,711 | 108,829 | 35% | 35% |
ROE | 13,963 | 8,588 | 63% | 54% | 28,676 | 18,991 | 51% | 47% |
USA | 19,649 | 5,962 | 230% | 188% | 34,875 | 13,864 | 152% | 130% |
ROW | 15,667 | 9,441 | 66% | 57% | 31,348 | 22,792 | 38% | 40% |
Highlights for the four months to 31 December 2016
· Revenue up 55% (52% CER(1))
o UK up 31%, rest of Europe up 63% (54% CER), USA up 230% (188% CER), rest of world up 66% (57% CER)
· Gross margin 53.1%, down 260bps (Retail gross margin 54.4%, down 260bps due to planned investment in price and promotions)
· Broader product range driving growth, launch of kids wear
· 5.1m active customers(2), up 31% on prior year
· Acquisition of PrettyLittleThing completed on 3 January 2017
· Strong balance sheet with net cash of £69m
(1): CER designates Constant Exchange Rate translation of foreign currency revenue
(2): Active customers defined as having shopped in the last year
Mahmud Kamani and Carol Kane, joint CEOs, commented:
"Trading in the four months to 31 December 2016 has been strong across all regions. Our strategy offering great pricing, enticing promotions and an ever-broader range of the latest fashion continues to drive growth and enhance customer lifetime value. In particular, sales momentum in the USA has continued robustly, helped by our strong customer proposition across the Black Friday weekend.
We are delighted to have completed the acquisition of a majority stake in PrettyLittleThing on 3 January 2017 and we welcome the team to the enlarged boohoo.com group. This is a fantastic brand to complement boohoo.com's own brand, and we look forward to building on its success.
Progress is being made towards a further warehouse extension at Burnley to support growth in the longer term and investment in our IT infrastructure continues. The USA website was moved to a new platform in October and our mobile Apps in the UK and internationally continue to grow in popularity.
As a result of the strong trading through Black Friday continuing into the Christmas season, we now expect revenue growth for boohoo.com (excluding PrettyLittleThing) to be between 43% and 45% in the year to 28 February 2017, above previous guidance of between 38% and 42%. As previously announced, PrettyLittleThing is expected to achieve revenue growth in excess of 150% for the year to 28 February 2017 (FY16 revenue: £17.0m), while being broadly breakeven at EBITDA level. Consequently, group revenue growth, including PrettyLittleThing, is expected to be between 46% and 48% and group EBITDA margin between 11% and 12%."
Investor and Analyst conference call
boohoo.com will host a conference call for analysts and investors at 8.30am (UK time) today. Dial in details:
Tollfree/Freephone: | 0800 358 6377 |
Local: | +44 (0)330 336 9105 |
Conference ID: | 6375640 |
Enquiries
boohoo.com plc Neil Catto, Chief Financial Officer Clara Melia, Investor Relations |
Tel: +44 (0)161 233 2050 Tel: +44 (0)7748 171236
|
Zeus Capital - Nominated adviser and joint broker Nick Cowles/Andrew Jones (Corporate Finance) John Goold/Benjamin Robertson (Corporate Broking) |
Tel: +44 (0)161 831 1512 Tel: +44 (0)20 3829 5000 |
Jefferies Hoare Govett - Joint broker Nick Adams/Max Jones |
Tel: +44 (0)20 7029 8000
|
Buchanan - Financial PR adviser Richard Oldworth/Madeleine Seacombe/ Jane Glover | Tel: +44 (0)20 7466 5000 boohoo@buchanan.uk.com |
About boohoo.com
"The voice and style of the social generation"
Keeping one step ahead of the trends or making a subtle style change is easy with boohoo.com and with up to 100 new pieces hitting the site every day and a new collection each week, boohoo.com never stops - it is 24/7 fashion at its best.
From the UK's best kept fashion secret to one of the fastest growing international retailers, boohoo.com has quickly evolved into a global fashion leader of its generation. Combining cutting-edge, aspirational design with an affordable price tag, boohoo.com has been pushing boundaries since 2006 to bring its customers all the latest looks for less.
www.boohoo.com | www.boohoo.com/newz/page/home | fr.boohoo.com |
www.boohoo.com/europe/page/home | www.boohoo.com/sweden/page/home | de.boohoo.com |
us.boohoo.com | www.boohoo.com/denmark/page/home | it.boohoo.com |
ca.boohoo.com | www.boohoo.com/norway/page/home | nl.boohoo.com |
www.boohoo.com/aus/page/home | fi.boohoo.com | es.boohoo.com |
www.boohooman.com |
About PrettyLittleThing
Founded in 2012, PrettyLittleThing originated as an accessories only website. It soon saw that its customers wanted to buy top to toe outfits and introduced a clothing range in 2013. Since then PLT has grown into a forward-thinking fashion brand offering killer affordable style to female fashion breakers and makers. The business is all about the right here, right now. PLT doesn't just anticipate trends; it creates them, taking inspiration from the catwalk, celebrities, and influencers, making sure they're available for the customer to shop on PLT's site before they are available anywhere else.
www.prettylittlething.com | ie.prettylittlething.com | |
www.prettylittlething.us | ||
www.prettylittlething.com.au |
Appendix - prior period revenues by region
Revenue by period for the ten months ended 31 December 2016
£'000s | 3m to 31 May | 3m to 31 August | 6m to 31 August | |||||||||
FY17 | FY16 | yoy % | yoy % CER | FY17 | FY16 | yoy % | yoy % CER | FY17 | FY16 | yoy %
| yoy % CER | |
Total | 58,222 | 41,322 | 41% | 42% | 69,094 | 49,462 | 40% | 40% | 127,316 | 90,784 | 40% | 41% |
Sales by region | ||||||||||||
UK | 37,396 | 26,273 | 42% | 42% | 44,300 | 32,855 | 35% | 35% | 81,696 | 59,128 | 38% | 38% |
ROE | 6,938 | 4,943 | 40% | 43% | 7,775 | 5,460 | 42% | 40% | 14,713 | 10,403 | 41% | 41% |
USA | 6,385 | 3,815 | 67% | 60% | 8,841 | 4,086 | 116% | 100% | 15,226 | 7,901 | 93% | 81% |
ROW | 7,503 | 6,291 | 19% | 27% | 8,178 | 7,061 | 16% | 27% | 15,681 | 13,352 | 17% | 27% |
£'000s | 4m to 31 December | 10m to 31 December | ||||||
FY17 | FY16 | yoy % | yoy % CER | FY17 | FY16 | yoy % | yoy % CER | |
Total | 114,294 | 73,692 | 55% | 52% | 241,610 | 164,476 | 47% | 46% |
Sales by region | ||||||||
UK | 65,015 | 49,701 | 31% | 31% | 146,711 | 108,829 | 35% | 35% |
ROE | 13,963 | 8,588 | 63% | 54% | 28,676 | 18,991 | 51% | 47% |
USA | 19,649 | 5,962 | 230% | 188% | 34,875 | 13,864 | 152% | 130% |
ROW | 15,667 | 9,441 | 66% | 57% | 31,348 | 22,792 | 38% | 40% |
Revenue by period for the year to 29 February 2016
£'000s | 3m to 31 May | 3m to 31 August | 6m to 31 August | |||||||||
FY16 | FY15 | yoy % | yoy % CER | FY16 | FY15 | yoy % | yoy % CER | FY16 | FY15 | yoy %
| yoy % CER | |
Total | 41,322 | 30,659 | 35% | 37% | 49,462 | 36,538 | 35% | 40% | 90,784 | 67,197 | 35% | 39% |
Sales by region | ||||||||||||
UK | 26,273 | 20,686 | 27% | 27% | 32,855 | 24,919 | 32% | 32% | 59,128 | 45,605 | 30% | 30% |
ROE | 4,943 | 3,891 | 27% | 45% | 5,460 | 4,828 | 13% | 26% | 10,403 | 8,719 | 19% | 34% |
USA | 3,815 | 1,485 | 157% | 143% | 4,086 | 1,382 | 196% | 181% | 7,901 | 2,867 | 176% | 161% |
ROW | 6,291 | 4,597 | 37% | 48% | 7,061 | 5,409 | 31% | 55% | 13,352 | 10,006 | 33% | 52% |
£'000s | 4m to 31 December | 2m to 29 February | 12m to 29 February | |||||||||
FY16 | FY15 | yoy % | yoy % CER | FY16 | FY15 | yoy % | yoy % CER | FY16 | FY15 | yoy %
| yoy % CER | |
Total | 73,692 | 50,793 | 45% | 49% | 30,918 | 21,861 | 41% | 40% | 195,394 | 139,851 | 40% | 42% |
Sales by region | ||||||||||||
UK | 49,701 | 34,179 | 45% | 45% | 21,267 | 14,558 | 46% | 46% | 130,096 | 94,342 | 38% | 38% |
ROE | 8,588 | 6,464 | 33% | 44% | 3,639 | 2,903 | 25% | 20% | 22,630 | 18,086 | 25% | 35% |
USA | 5,962 | 2,639 | 126% | 116% | 2,659 | 1,504 | 77% | 63% | 16,523 | 7,009 | 136% | 123% |
ROW | 9,441 | 7,511 | 26% | 41% | 3,353 | 2,895 | 16% | 17% | 26,145 | 20,414 | 28% | 42% |
CER in this appendix for the year ended 29 February 2016 is calculated using exchange rates prevailing during the year ending 29 February 2016.
Nomenclature: ROE - rest of Europe; ROW - rest of world; yoy - year-on-year; CER - constant exchange rate
This announcement has been determined to contain inside information.
Cautionary Statement
Certain statements included or incorporated by reference within this announcement may constitute "forward-looking statements" in respect of the group's operations, performance, prospects and/or financial condition. Forward-looking statements are sometimes, but not always, identified by their use of a date in the future or such words and words of similar meaning as "anticipates", "aims", "due", "could", "may", "will", "should", "expects", "believes", "intends", "plans", "potential", "targets", "goal" or "estimates". By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions and actual results or events may differ materially from those expressed or implied by those statements. Accordingly, no assurance can be given that any particular expectation will be met and reliance should not be placed on any forward-looking statement. Additionally, forward-looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. No responsibility or obligation is accepted to update or revise any forward-looking statement resulting from new information, future events or otherwise. Nothing in this announcement should be construed as a profit forecast. This announcement does not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to purchase any shares or other securities in the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment or investment decisions relating thereto, nor does it constitute a recommendation regarding the shares or other securities of the Company. Past performance cannot be relied upon as a guide to future performance and persons needing advice should consult an independent financial adviser. Statements in this announcement reflect the knowledge and information available at the time of its preparation. Liability arising from anything in this announcement shall be governed by English law. Nothing in this announcement shall exclude any liability under applicable laws that cannot be excluded in accordance with such laws.