Boohoo's full-year profit and revenue rise

Boohoo.com reported a rise in full-year profit and revenue, boosted by an expanded product range.

In the year ended 29 February, pre-tax profit at the online fashion retailer rose 42% to £15.7m on revenue of £195.4m, up 40% from 2015.

Adjusted earnings before interest, taxes, depreciation and amortisation were up 32% to £18.7m and the company had cash of £58.3m, with no debt.

Revenue in the UK increased 38%, with Rest of Europe up 25% and Rest of World up 56%.

Meanwhile, the number of active customers grew 34% from the previous year to over 4m.

Chief executive officers Mahmud Kamani and Carol Kane said: “We are pleased to report a year of strong revenue growth across all geographic regions. Active customer numbers, order frequency and conversion have all increased on last year as we continue to invest in building customer lifetime value. By refining the mix of promotional and marketing expenditure in each of our key markets, we have achieved growth ahead of our plans.

“The expansion of our product range has been very well received by our customers and contributed to the strong growth, with the new petite range performing very well along with plus-size which was introduced last year and continues to grow rapidly.”

Boohoo said it has enjoyed an encouraging start to the 2017 financial year and currently anticipates sales growth of around 25%, in line with market expectations.

Shore Capital said revenue was comfortably ahead of the consensus estimate of £190.8m and its own forecast of £191.9m, while adjusted EBITDA was also ahead of market expectations of £18.3m. Pre-tax profit, meanwhile, was in line.

At 0913 BST, Boohoo shares were down 3.5% to 48.25p.