Zalando (XTRA: ZAL) 4Q18 and FY18 Results: Final Quarter Bounce Back, But Falling Basket Sizes and Rising Fulfilment Costs Remain Problematic

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Key Points

  • Zalando reported a strong conclusion to the year with revenues up 24.6% year over year in 4Q18. 4Q18 adjusted EBIT came in comfortably ahead of expectations. Full-year revenue growth and EBIT were in line with guidance.
  • The company will begin reporting gross merchandise volume (GMV) to reflect the scale of the business.
  • Average basket sizes declined further and the fulfilment cost ratio climbed again in 2018.

Zalando reported a strong conclusion to the year with revenues up 24.6% year over year in 4Q18. 4Q18 adjusted EBIT came in comfortably ahead of expectations.

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