UK sales growth slows at Asos

Online fashion retailer Asos.com has revealed virtually no growth over the past three months

in the UK, while its overseas revenues continue to soar in its latest trading statement. The brand’s overseas expansion with three new international sites launched in the second quarter serving Australia, Italy and Spain has helped the firm to post revenues growth of 49% overall.

The UK, which accounts for 40% of Asos's business, generated revenues of £44 million in the three months to September, up 1% from a year ago, but slightly lower than the first three months. Sales for the half year in the UK rose by 8% to £88.7 million, but that was driven by 15% improvement posted in the first quarter.

“I am pleased to report a strong first half performance.  Our retail sales grew 60% over the comparable period, with our International business more than compensating for the economic challenges facing our UK customer base,” commented Nick Robertson, CEO, Asos. “With costs and stock tightly managed and retail margin ahead of prior year, we are confident of achieving results in line with market expectations.”

International sales jumped 141% thanks to the continued growth in America and the new international sites, which takes Asos to seven websites globally. Group revenues overall in the second quarter rose to £109.9 million from £73.9 million.

The retailer targets 16-34 year olds with clothes and accessories, and sells over 50,000 branded and own-label products.