Online fashion retailer boohoo, which operates a major distribution facility in Burnley, has announced double-digit sales growth across the year.
The boohoo group delivered net sales growth in the fourth quarter of 7 per cent, and over the full year of 14 per cent, which is up 48 per cent and 61 per cent over two years respectively.
However, the company also said that as expected, net sales growth in the quarter was impacted by higher returns rates year on year due to product mix. This is expected to continue in the first half of FY23.
While UK sales remained strong, rest of the world figures were hit by longer customer delivery times as a result of pandemic-related supply chain pressures. However, in the fourth quarter, the group did see a return to growth in ROW due to the positive contribution from wholesale.
Management reported that they expect adjusted EBITDA for the financial year ended 28 February 2022 to be approximately £125m, in line with prior guidance issued.
John Lyttle, Group CEO, commented: “The group has delivered strong growth over the last two years, which has translated into significant market share gains. We are confident that pandemic-related headwinds are short-term in their nature, and our focus is to ensure the business is well-positioned for growth as these headwinds ease."
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