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About You posts strong Q1 growth, reiterates outlook

Business

By Prachi Singh

22 Jul 2021

Online fashion platform About You reported first quarter net revenue growth of 65.5 percent to 422.1 million euros.

Commenting on the first quarter trading, Tarek Müller, co-founder and co-CEO of the company, said: “Our successful listing in June has boosted both our visibility and our financial strength, allowing us to push ahead full steam with our mission to digitise the offline shopping stroll.”

Highlights of About You’s first quarter performance

About You continued to launch exclusive collections and personal brands with influencers, including celebrated German musician and influencer Lena Meyer-Landrut, adding several new brands to its hybrid fashion platform - such as Weekday, Allsaints and Pinko as well as further increasing the items online, reaching 426,000 in the first quarter, up by 27.5 percent.

As a result of the various initiatives, the company saw an increase in active customers to 9.2 million, up from 6.5 million a year ago. The average order value also increased to 58.1 euros from 55.8 euros a year prior.

The company said that About You’s Tech, Media, and Enabling (TME) segment, reported net revenue increase to 34.5 million euros, up 135.8 percent, which is attributable both to increasing revenues from existing customers as well as the go-live of new customers - including Marc O’Polo for Tech and onboarding of customers like VF Corporation representing Vans, The North Face, etc.

The company also continued to scale its operations internationally during the quarter and expanded its footprint into three additional markets of Portugal, Greece, and Norway, resulting in 119.1 percent growth in its rest of Europe segment. The company is now present in 26 markets.

“In the run-up to our listing, we promised investors not only that About You will launch into additional markets to build a truly pan-European digital fashion offering, but also that we will be accelerating the roll-out of our SaaS business while growing our tech infrastructure and distribution centres. We are delivering on all of these points,” added Hannes Wiese, co-founder and co-CEO.

About You improves profitability, reiterates outlook

While delivering sound top-line growth, the company improved profitability across all segments, driving the group's adjusted EBITDA margin to negative 2.9 percent in the first quarter, from negative 4.2 percent a year earlier.

The company has reiterated its guidance and continues to expect group revenues to grow by 40-50 percent to 1,630 to 1,750 million euros in the 2021/22 financial year, while the adjusted EBITDA guidance remains unchanged at 70 million euros.

Image: About You newsroom