Shoppers are increasingly ditching the high street in favour of getting their dose of retail therapy in cyberspace, and online fashion store
Following October's impressive year-end results, total retail sales in the first quarter of the financial year jumped 30 per cent to £166m, with the US charging ahead with 57 per cent growth. Group revenues were up 30 per cent on last year, reaching £169.4m, as UK sales also exceeded expectations.
The company also continued its global expansion in the first quarter, establishing offices in the US, France and Germany in a bid to localise its product offering. As of 30 November, it had 5.4m active customers worldwide, a 35 per cent year-on-year increase. International sales now account for 63 per cent of the total.
Asos is making impressive progress overseas and has healthy gross margins of roughly 50 per cent. But trading at 55 times forecast earnings and paying no dividend, the shares, which are priced at 2,573p, are very much up with events. Hold.