2 minutes

Zalando (XTRA: ZAL) 1Q18 Results: Beats on Top Line but Greater Discounting and Mounting Costs Lead to Operating Loss

Primary Analyst: Coresight Research
Contributors
Primary Analyst: Coresight Research
Insight Report

Executive Summary

  • In the first quarter, Zalando grew revenues by 22% year over year, but discounting pressured the gross margin and operating costs climbed by 25%.
  • Revenues for its core Fashion Store business grew by 20%.
  • Management reiterated its guidance for FY18 revenue growth of 20%–25% and adjusted EBIT of €220–€270 million.
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