Global Fashion Group recorded its second quarter of growth this year, as the ecommerce shift in fashion and lifestyle shopping “continues to accelerate”.
The group, which operates fashion marketplaces such as The Iconic and Lamoda in emerging markets, expects to break even for the second quarter in a row with an adjusted EBITDA of €9.5m (£8.6m).
Sales in the quarter jumped 11.3% to €336.1m (£302.9m) and net merchandise value grew 22.8% year on year to €488.3m (£440.2m).
As shoppers shifted to online amid the coronavirus pandemic Global Fashion Group also gained a record 2.5 million new customers within the period, its active customer base now standing at 14.6 million.
Orders also grew by 18.8% to 10.6 million, with a 3.3% increase in average order value, and the average frequency of customer visits increased to 2.5 times per year.
The group is focused on bettering its fulfilment capabilities as demand increases. Lamoda more than doubled its delivery capacity to address the increased demand while pick-up points were temporarily closed. It has also opened a new Brazilian warehouse.
Global Fashion Group’s co-chief executives Christoph Barchewitz and Patrick Schmidt said: “Another strong quarter for GFG. Fashion and lifestyle ecommerce continues to accelerate across our markets, helping us execute against our strategic priorities even faster.
“While focusing on health and safety, we delivered our second profitable quarter, with record growth across active customers, gross margin and marketplace.
“These results are a real testament to the agility of our business and our people who have adapted seamlessly to new ways of working, while continuing to strengthen our position as the leading online fashion and lifestyle destination in growth markets.”
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