Boohoo lifts revenue growth expectations after strong trading

Online fashion retailer Boohoo.com said on Tuesday that revenue growth for the 12 months to 28 February is now likely to be around 50%, ahead of previous expectations thanks to strong trading since the last update in January.

The group had previously guided to growth in a range of between 46% and 48%.

Boohoo said it continues to benefit from improved operating leverage in the business and now expects to deliver an adjusted earnings before interest, taxes, depreciation and amortisation margin at the top end of the previously guided range of 11% to 12%.

This guidance relates to boohoo.com and prettylittlething.com, which has been consolidated from 3 January 2017.

The company also said it has completed the acquisition of certain intellectual property assets and customer databases from US-based Nasty Gal for $20m.

The transaction will be financed through a combination of existing cash resources and a new bank debt facility of £12m.

At 0920 GMT, Boohoo shares were up 0.5% to 147.50p.