Europe's Zalando's GMV increases by 7.8% in Q3

For the full-year 2024, Zalando now predicts gross merchandise volume (GMV) to grow between 3 per cent and 5 per cent, compared with the previous 0 per cent to 5 per cent growth outlook. Revenues are now expected to grow 2 per cent to 5 per cent, up from the previous guidance range of 0 per cent to 5 per cent. Adjusted EBIT is now expected to come in between €440 million (≈$481 million) and €480 million (≈$524.98 million), up from a previous guidance of between €380 million (≈$415.61 million) and €450 million (≈$492.17 million). Zalando targets capex investments of around €200 million (≈$218.74 million) in the full year, compared with a previous guidance between €250 million (≈$273.43 million) and €350 million (≈$382.80 million).

“Consumer demand has increased across the industry in the third quarter, with a strong start to the fall/winter season, compared to last year's slow beginning,” said Robert Gentz, Zalando co-CEO. “Our new ecosystem strategy, empowering us to cover a larger share of the fashion and lifestyle e-commerce market, positions us very well to capture growth opportunities.”

Zalando has upgraded its full-year financial outlook as its ecosystem strategy around quality, lifestyle expansion, inspiration and opening up its B2B capabilities enabled the company to capture increasing consumer demand in the third quarter amid an industry-wide strong start to the fall/winter season. The number of active customers continued its positive trend and stands above 50 million, the company said in a press release.

“Looking forward, the company is now doubling down on its investments in key strategic initiatives, such as driving customer loyalty, making fashion discovery more inspiring and entertaining, and further strengthening its European logistics network, in line with its updated ecosystem strategy,” added Gentz.

Fibre2Fashion News Desk (RR)