EQS-News: Zalando SE
/ Key word(s): Quarter Results
Zalando Records Strong Q3 Growth in Both B2C and B2B, Invests in Customer Loyalty, Lifestyle Propositions, Fashion Discovery and Logistics
Zalando’s third-quarter gross merchandise volume (GMV) rose 7.8% to 3.5 billion euros compared with a year ago, revenue increased 5.0% to 2.4 billion euros and adjusted earnings before interest and taxes (adjusted EBIT) climbed from 23 million euros to 93 million euros. The adjusted EBIT margin increased by 2.9 percentage points to 3.9%. The number of active customers increased by about half a million quarter on quarter, bringing the total number of active customers to 50.3 million in the third quarter. “Consumers love the quality brands we are adding, spend time with our exciting digital experiences, and embrace our expanding lifestyle offerings in areas such as Sports, Beauty and Kids & Family,” said Dr. Sandra Dembeck, Chief Financial Officer. “To capture further growth opportunities, we are investing into initiatives such as evolving our Plus loyalty program, offering more inspiring content, ramping up our tech hub in China and driving localised convenience for customers via our European logistics network.” B2C: New Brands, Rewarding Loyalty and Lifestyle Growth For Zalando’s first B2C growth pillar, aiming to differentiate itself through quality and offer the best possible shopping experience, the company added new brands like Remain, A-COLD-WALL*, and Marine Serre to its curated lineup. Zalando also evolved its Plus program from a paid membership to a free, points-based system designed to reward customer loyalty. For the third B2C growth pillar - introducing new content formats into commerce and offering personalised inspiration and entertainment - the company further evolved Stories on Zalando, the content hub that engages customers around exciting fashion and culture trends. Fashion influencers like Caro Daur, Linda Tol, and Jordan Anderson are now offering exclusive content and showcasing their curated fashion selections. Revenue in the B2C growth vector rose 4.3% to 2.2 billion euros in the third quarter compared with the same period a year ago. Adjusted EBIT rose to 86.7 million euros, representing an adjusted EBIT margin of 4.0% in the quarter compared to 0.5% a year prior, driven by improved gross margins and lower fulfilment costs. B2B: Expanding value proposition for partners In the third quarter, revenue in the B2B growth vector continued to outgrow group revenues and increased 11.1% to 239.7 million euros compared with a year ago. Adjusted EBIT fell from 12.6 million euros a year ago to 6.7 million euros, representing an adjusted EBIT margin of 2.8%, compared to 5.8% a year prior. The decrease was mainly caused by frontloaded investments to support future growth. Outlook Today, Zalando confirmed its guidance, which was upgraded on 10 October 2024, for the financial year 2024. The company expects gross merchandise volume (GMV) to grow between 3% and 5%, revenue to increase between 2% and 5% and adjusted EBIT to grow to between 440 million euros and 480 million euros. The third-quarter 2024 financial report, as well as the earnings presentation for analysts and investors, is available on the . Zalando will report the results for the full year 2024 on 6 March 2025. (end)
*Definitions are available in the About Zalando Founded in Berlin in 2008, Zalando is building the leading pan-European ecosystem for fashion and lifestyle e-commerce around two growth vectors: Business-to-Consumer (B2C) and Business-to-Business (B2B). In B2C, we offer an inspiring and quality multi-brand shopping experience for fashion and lifestyle products to more than 50 million active customers in 25 markets. In B2B, we are using our logistics infrastructure, software and service capabilities to help brands and retailers run and scale their entire e-commerce business, on or off Zalando. As an ecosystem, Zalando aims to enable positive change for the fashion and lifestyle industry.
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05.11.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. |
Language: | English |
Company: | Zalando SE |
Valeska-Gert-Straße 5 | |
10243 Berlin | |
Germany | |
E-mail: | |
Internet: | |
ISIN: | DE000ZAL1111 |
WKN: | ZAL111 |
Indices: | DAX |
Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
EQS News ID: | 2022189 |
End of News | EQS News Service |
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2022189 05.11.2024 CET/CEST