REG - boohoo group plc - Trading Update

BoohooAnnouncement

15/01/2019 07:00

RNS Number : 0615N
boohoo group plc
15 January 2019
 


For immediate release                                                                         15 January 2019
 
The information contained within this announcement is deemed by the company to constitute inside information stipulated under the Market Abuse Regulation (EU) No. 596/2014.  Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.
 
boohoo group plc - trading statement for the four months ended 31 December 2018
                                                                                                                                       
Strong growth across all brands in all regions
 







Four months to 31 December


Ten months to 31 December




£ million


FY19


        FY18


  Increase


CER(1)


       FY19


        FY18


  Increase


CER(1)




Group total revenue


328.2


228.2


        44%


43%


723.5


491.1


47%


46%




Revenue by region




































  UK


180.0


135.7


33%


33%


414.0


299.0


38%


38%




  ROE(2)


44.4


28.2


57%


54%


95.7


56.0


71%


63%




  USA


70.4


39.6


78%


80%


138.6


79.2


75%


77%




  ROW(3)


33.4


24.7


35%


32%


75.2


56.9


32%


29%















 
(1): CER designates Constant Exchange Rate translation of foreign currency revenue. (2) ROE is rest of Europe. (3) ROW is rest of world.
 
Highlights
 
Group
·    Strong revenue growth of 44% (43% CER) across all geographic regions
·    Gross margin for the four months 54.2%, up 170bps
·    Strong balance sheet with net cash of £189 million (31 December 2017: £127 million)
 
boohoo
·    Revenue £163.5 million, up 15% (14% CER). Year-to-date revenue £372.5 million, up 15% (13% CER)
·    Gross margin for the four months 52.2%, up 150bps
 
PrettyLittleThing
·    Revenue £144.2 million, up 95% (96% CER). Year-to-date revenue £312.8 million, up 114% (115% CER)
·    Gross margin for the four months 56.4%, up 110bps
 
Nasty Gal
·    Revenue £20.6 million, up 74% (76% CER). Year-to-date revenue £38.3 million, up 89% (93% CER)
·    Gross margin for the four months 54.4% (2018: 55.3%)
 
Guidance
Group revenue growth for the financial year to 28 February 2019 is expected to be 43% to 45%, ahead of our previous guidance of 38% to 43%. We expect group adjusted EBITDA margins to be between 9.25% and 9.75%, narrowing the range from the 9% to 10% as previously guided. All other guidance remains unchanged.
 
Mahmud Kamani and Carol Kane, Joint CEOs, commented:
"We are delighted to be reporting yet another great set of financial and operational results and would like to say a very big thank you to all our team and customers. We remain firmly focused on continuing to provide our customers with great fashion at unbeatable value. The global growth opportunity is significant and we will be addressing it in a controlled way - investing in our proposition, operations and infrastructure to capitalise on the opportunity."
 
 
 
 
Investor and analyst conference call
 
boohoo group plc will today host a conference call for analysts and investors at 9.30am (UK time). The dial in details for the call are as follows:
 



UK Toll Number:


+44 3333000804




UK Toll-Free Number:


08003589473




Participant pin code:


73664912#



 
For international access numbers, please click here.
 
Notice of results
 
boohoo group plc expects to report its results for the 12 months to 28 February 2019 on 24 April 2019.
 



Enquiries


















boohoo group plc








Neil Catto, Chief Financial Officer


Tel: +44 (0)161 233 2050




Alistair Davies, Investor Relations


Tel: +44 (0)161 233 2050




Clara Melia, Investor Relations


Tel: +44 (0)20 3289 5520














Zeus Capital - Nominated adviser and joint broker








Nick Cowles/Andrew Jones (Corporate Finance)


Tel: +44 (0)161 831 1512




John Goold/Benjamin Robertson (Corporate Broking)


Tel: +44 (0)20 3829 5000














Jefferies Hoare Govett - Joint broker








Nick Adams/Max Jones


Tel: +44 (0)20 7029 8000














Buchanan - Financial PR adviser


boohoo@buchanan.uk.com




Richard Oldworth/Sophie Wills


Tel: +44 (0)20 7466 5000



 
About boohoo group plc
 
"Leading the fashion eCommerce market"
 
Founded in Manchester in 2006, the group started life as boohoo.com, an inclusive and innovative brand targeting young, value-orientated customers. For over 12 years, boohoo has been pushing boundaries to bring its customers up-to-date and inspirational fashion, 24/7. boohoo has grown rapidly in the UK and internationally, expanding its offering with range extensions into menswear through boohooMAN. 
 
In early 2017 the group extended its customer offering through the acquisitions of the vibrant fashion brand PrettyLittleThing, and free-thinking brand Nasty Gal. United by a shared customer value proposition, our brands design, source, market and sell great quality clothes, shoes and accessories at unbeatable prices. This investment proposition has helped us grow from a single brand, into a major multi-brand online retailer, leading the fashion eCommerce market for 16 to 30-year-olds around the world. Today the boohoo group sells to over 11 million customer accounts across all its brands around the world. 
 
Cautionary Statement
Certain statements included or incorporated by reference within this announcement may constitute "forward-looking statements" in respect of the group's operations, performance, prospects and/or financial condition. Forward-looking statements are sometimes, but not always, identified by their use of a date in the future or such words and words of similar meaning as "anticipates", "aims", "due", "could", "may", "will", "should", "expects", "believes", "intends", "plans", "potential", "targets", "goal" or "estimates". By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions and actual results or events may differ materially from those expressed or implied by those statements. Accordingly, no assurance can be given that any particular expectation will be met and reliance should not be placed on any forward-looking statement. Additionally, forward-looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. No responsibility or obligation is accepted to update or revise any forward-looking statement resulting from new information, future events or otherwise. Nothing in this announcement should be construed as a profit forecast. This announcement does not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to purchase any shares or other securities in the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment or investment decisions relating thereto, nor does it constitute a recommendation regarding the shares or other securities of the Company. Past performance cannot be relied upon as a guide to future performance and persons needing advice should consult an independent financial adviser. Statements in this announcement reflect the knowledge and information available at the time of its preparation. Liability arising from anything in this announcement shall be governed by English law. Nothing in this announcement shall exclude any liability under applicable laws that cannot be excluded in accordance with such laws.







Appendix - prior period revenues by region
 
Revenue by period for the ten months to 31 December 2018 (FY19)
 



£'000


4m to 31 December


10m to 31 December








FY19


FY18


yoy %


yoy % CER


FY19


FY18


yoy %


yoy %
CER




Total


328,231


228,215


44%


43%


723,542


491,090


47%


46%




 
Revenue by region




















 UK


179,952


135,642


33%


33%


414,009


299,022


38%


38%




 ROE


44,431


28,232


57%


54%


95,682


56,023


71%


63%




 USA


70,427


39,618


78%


80%


138,598


79,214


75%


77%




 ROW


33,421


24,723


35%


32%


75,252


56,830


32%


29%



 
 



£'000


3m to 31 May


3m to 31 August


6m to 31 August








FY19


FY18


yoy %


yoy % CER


FY19


FY18


yoy %


yoy %
CER


FY19


FY18


yoy %
 


yoy %
CER




Total


183,561


120,077


53%


52%


211,748


142,798


48%


47%


395,309


262,875


50%


49%










































Revenue by region




































 UK


110,738


74,532


49%


49%


123,319


88,849


39%


39%


234,057


163,381


43%


43%




 ROE


22,257


12,220


82%


71%


28,993


15,571


86%


73%


51,250


27,791


84%


72%




 USA


31,389


17,906


75%


78%


36,782


21,690


70%


71%


68,171


39,596


72%


74%




 ROW


19,177


15,419


24%


22%


22,654


16,688


36%


31%


41,831


32,107


30%


27%



 
Revenue by period for the year to 28 February 2018 (FY18)
 



£'000


4m to 31 December


2m to 28 February


12m to 28 February








FY18


FY17


yoy %


yoy % CER


FY18


FY17


yoy %


yoy %
CER


FY18


FY17


yoy %
 


yoy %
CER




Total


228,215


114,294


100%


93%


88,710


53,025


67%


65%


579,800


294,635


97%


92%










































Revenue by region




































 UK


135,642


65,465


107%


107%


56,592


34,820


63%


63%


355,614


181,981


95%


95%




 ROE


28,232


13,963


102%


76%


10,258


6,059


69%


54%


66,281


34,735


91%


73%




 USA


39,618


19,299


105%


102%


13,475


5,910


128%


133%


92,690


40,435


129%


122%




 ROW


24,723


15,567


59%


46%


8,385


6,236


34%


29%


65,215


37,484


74%


64%



 



£'000


3m to 31 May


3m to 31 August


6m to 31 August








FY18


FY17


yoy %


yoy % CER


FY18


FY17


yoy %


yoy %
CER


FY18


FY17


yoy %
 


yoy %
CER




Total


120,077


58,222


106%


98%


142,798


69,094


107%


104%


262,875


127,316


106%


101%










































Revenue by region




































 UK


74,532


37,396


99%


99%


88,849


44,300


101%


101%


163,381


81,696


100%


100%




 ROE


12,220


6,938


76%


61%


15,571


7,775


100%


92%


27,791


14,713


89%


77%




 USA


17,906


6,385


180%


155%


21,690


8,841


145%


136%


39,596


15,226


160%


145%




 ROW


15,419


7,503


105%


80%


16,688


8,178


104%


98%


32,107


15,681


105%


89%



 




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