Boohoo profits and sales up as international business accelerates

Boohoo reported a 42% increase in pre-tax profits to £15.7m for the year to February 29 while sales rose 40% to £195m. 

Sales in the UK jumped 38% in the year. In the rest of Europe, revenues climbed 25%, while outside of Europe sales increased 56%.

The etailer said international growth accelerated “as the worldwide market for internet fashion sales continues to expand”, and expansion of its product range has driven growth and brand appeal. Sales outside of Europe now account for a third of revenues. 

Finance boss Neil Catto said today that the etailer was keen to expand its European presence when selecting its next key markets. France and the Republic of Ireland are its European priorities. 

Boohoo launched UK, US and Australian apps during the period and introduced responsive websites for its European sites to improve its mobile and tablet offering, which now accounts for 66% of sessions.

Boohoo joint chief executives Mahmud Kamani and Carol Kane said: “Active customer numbers, order frequency and conversion have all increased on last year as we continue to invest in building customer lifetime value.

“The expansion of our product range has been very well received by our customers and contributed to the strong growth, with the new petite range performing very well along with plus–size which was introduced last year and continues to grow rapidly.

“We have enhanced the mobile experience through new apps in the UK, US and Australia, as well as introducing more flexible delivery and return options and later next-day delivery cut-off times.”

In January this year, Boohoo reported an overall sales rise of 45% in the four months to December 31, reaching £73.6m. The etailer’s UK sales climbed 45% to £49.7m.

It also launched a dedicated menswear site. The sister site, Boohooman.com, sells clothing, footwear and accessories aimed exclusively at “trend-led, price-conscious” 16-to-24-year-old men.