Zalando breaks records topping 1bn site visits as sales and profits grow
Zalando’s site was visited over 1 billion times for the first time during its third quarter, as the retailer continues its return to profitability.
The online fashion retailer has seen record numbers visit its site for the second consecutive quarter, rising from 28.3 million in the second quarter to 29.5 million, up significantly from 25.1 million in the same quarter last year.
Meanwhile its total site visits jumped from 986.4 million in Q2 to over 1 billion for the first time since it was founded in Germany in 2008.
This represented a near 40 per cent increase in traffic year-on-year.
Zalando’s increased traffic drove a 26.7 per cent year-on-year jump in sales to €1.52 billion (£1.31 billion), while adjusted pre-tax profits came in at €6.3 million (£5.4 million), a dramatic recovery from the €38.9 million (£33.56 million) loss seen a year earlier.
“2019 has been a very successful year for us so far,” chief financial officer David Schöder said.
“We had a strong third quarter with more active customers who more and more frequently look for inspiration on Zalando. We are growing at a high pace across all regions.”
Despite the positive customer and profit growth, average order sizes dipped slightly from €57.7 (£49.79) in 2018 to €56.6 (£48.84) this year.
Looking forward Zalando reinstated its full-year guidance with adjusted EBIT to hit the upper half of the range of €175 million – €225 million”.