Boohoo sales rocket over Christmas

Boohoo’s revenues surged 44% to £473.7m in the four months to December 31 and rose by the same amount to £1.04bn over the 10 months to the same date.

The USA and Europe led the way with a 57% advance in each market. Sales in the UK – Boohoo’s biggest market – rose 42% and in the rest of the world they were 13% ahead.

Gross margin fell 53.5% over the four-month period and Boohoo reported that it had successfully integrated and relaunched acquisitions MissPap, Karen Millen and Coast.

Group sales growth for the financial year to the end of next month is expected to be between 40% to 42%, ahead of previously expected growth of 33% to 38%. The adjusted EBITDA margin is anticipated to be between 10% and 10.2%.

Boohoo chief executive John Lyttle said: “I am delighted to report the group has enjoyed record trading in the last four months of 2019. All of our brands have performed exceptionally well and delivered strong market share gains.

“We have continued to see operating leverage in our more established brands, and will continue to invest in them and our newly acquired brands. The newly acquired brands, MissPap, Karen Millen and Coast, are showing great promise and open different target markets for the group, in line with our strategy to build our multi-brand platform.”

Boohoo also reported that former JD Sports finance boss Brian Small, who has been a non-executive director since early last year, has become deputy chair.