Boohoo.com posts big jump in sales

Online clothing retailer Boohoo.com reported a big jump in sales for the four months to the end of December, with encouraging trading across all regions.

Total sales were up 49% from the same period a year earlier to £73.7m, while sales in the UK increased 45% to £49.7m.

In the rest of Europe, revenue was 33% higher and Boohoo said the number of active customers overall rose 33% from the previous year to 3.9m.

Joint chief executive officers Mahmud Kamani and Carol Kane said: “We have continued to optimise the mix of promotional and marketing spend to drive strong retail growth, reducing the proportion of marketing expenditure, offsetting the 290 basis points decline in retail gross margin, which includes the adverse impact of exchange rate movements.”

The company said it was confident of trading in the remaining two months of the year and now expects full year revenue growth to be a touch above previous guidance of 30% to 35%.

The update was in stark contrast to last January, when Boohoo shares tanked more than 40% after a profit warning.

At 1456 GMT, Boohoo shares were up 6.6% to 38.91p.