REG - ASOS PLC - Trading Statement <Origin Href="QuoteRef">ASOS.L</Origin>

AsosAnnouncement

12/01/2017 07:10

RNS Number : 9476T
ASOS PLC
12 January 2017
12 January 2017
ASOS plc ("the Company")
Trading Statement for the four months ended 31 December 2016
Four months to 31 December
m1
2016 
2015
Reported Increase
CCY2 Increase
UK retail sales
244.0
206.2
18%
18%
US retail sales
82.7
49.7
66%
42%
EU retail sales
165.8
111.0
49%
38%
ROW retail sales
113.2
77.4
46%
44%
International retail sales
361.7
238.1
52%
41%
Total retail sales
605.7
444.3 
36%
30%
Total group revenue3
621.3
457.1
36%
30%
1All numbers subject to rounding
2Constant currency has been calculated to take into account hedged rate movements on hedged sales and spot rate 
movements on unhedged sales
3Includes retail sales, delivery receipts and third party revenues
Highlights include:
 Retail sales grew strongly, +36% on a reported basis and +30% on a constant currency basis as investments in pricing and proposition continued to gain traction
 Strong performance in the UK with retail sales growth of +18% in a more promotional market 
 International retail sales accelerated to +52% aided by the reinvestment of the FX tailwind resulting from sterling weakness and US import duty benefits 
 Retail gross margin down 30bps on prior year, in line with plan
 Continued strong customer engagement: active customers4 +25%, average basket value +2%, average order frequency +6% 
 Total orders shipped 15.5m, +35% year on year
4Defined as having shopped in the last twelve months
Guidance:
 Medium term reported sales growth guidance remains unchanged at c.20-25% p.a. 
 Following reinvestment of FX and US duty benefits largely into price, guidance for FY17 reported sales growth is increased to c.25-30% 
 Including enhanced reinvestment, we remain confident of delivering current market consensus PBT expectations for the year 
 Capital expenditure is now expected to be in the 150-170m range for the current financial year 
Nick Beighton, CEO, commented:
"Following record sales over Cyber weekend and the Christmas trading period, I'm pleased to report a strong start to the year. A 50% plus increase in international sales is a standout performance. UK sales growth at 18% was a strong performance in a more promotional market. 
With sales for the year now expected to be up by c.25 to 30%, we're accelerating our infrastructure investment to handle that growth. ASOS remains well set to meet its longer-term ambitions as a result of the hard work and commitment of the team".
Investor and Analyst conference call:
ASOS will be hosting a conference call for analysts and investors at 7:45am (UK Time) today. Please call Guy Scarborough at Instinctif Partners for dial-in details on 020 7457 2047 or email guy.scarborough@instinctif.com.
A recording of this conference call will be available on the ASOS Plc investor centre website later today: http://www.asosplc.com/investors.aspx
For further information: 
ASOS plc 
Tel: 020 7756 1000
Nick Beighton, Chief ExecutiveOfficer
Helen Ashton, Chief Financial Officer
Greg Feehely, Director of Investor Relations
Website: www.asosplc.com/investors
Instinctif Partners
Tel: 020 7457 2020
Matthew Smallwood / Justine Warren / Guy Scarborough
 
JPMorgan Cazenove
Tel: 020 7742 4000
Michael Wentworth-Stanley / Caroline Thomlinson
Numis Securities
Tel:020 7260 1000
Alex Ham / Luke Bordewich
Forward looking statements: 
This announcement may include statements that are, or may be deemed to be, "forward-looking statements" (including words such as "believe", "expect", "estimate", "intend", "anticipate" and words of similar meaning). By their nature, forward-looking statements involve risk and uncertainty since they relate to future events and circumstances, and actual results may, and often do, differ materially from any forward-looking statements. Any forward-looking statements in this announcement reflect management's view with respect to future events as at the date of this announcement. Save as required by applicable law, the Company undertakes no obligation to publicly revise any forward-looking statements in this announcement, whether following any change in its expectations or to reflect events or circumstances after the date of this announcement.
Background note:
ASOS is a global fashion destination for 20-somethings. We sell cutting-edge fashion and offer a wide variety of fashion-related content, making ASOS.com the hub of a thriving fashion community. We sell over 85,000branded and own-brand products through localised mobile and web experiences, delivering from our fulfilment centres in the UK, US and Europe to almost every country in the world.
We tailor the mix of own-label, global and local brands sold through each of our eight local language websites: UK, US, France, Germany, Spain, Italy, Australia and Russia.
ASOS's websites attracted 139 million visits during December 2016 (December 2015: 114 million) and as at 31 December 2016 it had 13.4 million active customers1 (31 December 2015: 10.7 million), of which 4.9 million were located in the UK and 8.5 million were located in our international territories (31 December 2015: 4.2 million in the UK and 6.5 million internationally).
1Defined as having shopped in the last twelve months
Appendix 1 - Retail sales growth by period in sterling
Year ending 31 August 2017
m1
P12
YOY%
P22
YOY%
P32
YOY%
P42
YOY%
2016/17 YTD 
YOY%
UK retail sales
244.0
18%
244.0
18%
 US retail sales
82.7
66%
82.7
66%
 EU retail sales
165.8
49%
165.8
49%
 ROW retail sales
113.2
46%
113.2
46%
International retail sales
361.7
52%
361.7
52%
Total retail sales 
605.7
36%
605.7
36%
Year ending 31 August 2016
m1
P12
YOY%
P22
YOY%
P32
YOY%
P42
YOY%
2015/16 
YOY%
UK retail sales
206.2
25%
83.3
26%
203.1
28%
111.2
32%
603.8
27%
 US retail sales
49.7
42%
27.1
38%
68.3
53%
34.1
67%
179.2
50%
 EU retail sales
111.0
29%
56.9
14%
139.5
32%
67.5
30%
374.9
28%
 ROW retail sales
77.4
3%
33.0
(5%)
87.4
16%
48.0
21%
245.8
9%
International retail sales
238.1
21%
117.0
12%
295.2
31%
149.6
34%
799.9
25%
Total retail sales 
444.3 
23%
200.3
18%
498.3
30%
260.8 
33%
1,403.7
26%
Year ending 31 August 2015
m1
P12
YOY%
P22
YOY%
P32
YOY%
P42
YOY%
2014/15 
YOY%
UK retail sales
165.5
24%
65.9
36%
158.4
27%
84.1
29%
473.9
27%
 US retail sales
34.9
8%
19.6
35%
44.5
43%
20.5
41%
119.5
29%
 EU retail sales
86.3
(1%)
49.9
24%
105.8
21%
51.9
26%
293.9
15%
 ROW retail sales
75.3
(8%)
34.7
8%
75.1
(1%)
39.7
3%
224.8
(2%)
International retail sales
196.5
(3%)
104.2
20%
225.4
16%
112.1
19%
638.2
10%
Total retail sales 
362.0 
8%
170.1
26%
383.8
20%
196.2 
23%
1,112.1
17%
1 All numbers subject to rounding
2 Periods are as follows: 
P1: four months to 31 December
P2: two months to 28/29 February 
P3: four months to 30 June
P4: two months to 31 August
Appendix 2 - Retail sales growth by period at constant currency1
Year ending 31 August 2017
m2
P13
YOY%
P23
YOY%
P33
YOY%
P43
YOY%
2016/17 YTD 
YOY%
UK retail sales
244.0
18%
244.0
18%
 US retail sales
82.7
42%
82.7
42%
 EU retail sales
165.8
38%
165.8
38%
 ROW retail sales
113.2
44%
113.2
44%
International retail sales
361.7
41%
361.7
41%
Total retail sales 
605.7
30%
605.7
30%
Year ending 31 August 2016
m2
P13
YOY%
P23
YOY%
P33
YOY%
P43
YOY%
2015/16 
YOY%
UK retail sales
206.2
25%
83.3
26%
203.1
28%
111.2
32%
603.8
27%
 US retail sales
49.7
35%
27.1
32%
68.3
45%
34.1
47%
179.2
22%
 EU retail sales
111.0
40%
56.9
17%
139.5
22%
67.5
30%
374.9
26%
 ROW retail sales
77.4
15%
33.0
0%
87.4
17%
48.0
20%
245.8
6%
International retail sales
238.1
29%
117.0
14%
295.2
25%
149.6
29%
799.9
17%
Total retail sales 
444.3 
27%
200.3
19%
498.3
26%
260.8 
30%
1,403.7
21%
Year ending 31 August 2015
m2
P13
YOY%
P23
YOY%
P33
YOY%
P43
YOY%
2014/15 
YOY%
UK retail sales
165.5
24%
65.9
36%
158.4
27%
84.1
29%
473.9
27%
 US retail sales
34.9
9%
19.6
25%
44.5
31%
20.5
31%
119.5
22%
 EU retail sales
86.3
6%
49.9
34%
105.8
37%
51.9
41%
293.9
26%
 ROW retail sales
75.3
(3%)
34.7
14%
75.1
5%
39.7
14%
224.8
5%
International retail sales
196.5
3%
104.2
25%
225.4
23%
112.1
28%
638.2
17%
Total retail sales 
362.0 
11%
170.1
29%
383.8
25%
196.2 
29%
1,112.1
21%
1From 1 July 2016, constant currency has been calculated to take into account hedged rate movements on hedged sales and spot rate movements on unhedged sales as this more closely reflects reality. Prior to this, the calculation only took into account spot rate movements on total sales. 
2All numbers subject to rounding
3Periods are as follows: 
P1: four months to 31 December
P2: two months to 28/29 February 
P3: four months to 30 June
P4: two months to 31 August

This information is provided by RNS
The company news service from the London Stock Exchange
  END
TSTQFLFFDFFZBBX