ASOS Christmas sales dip amid challenging conditions
ASOS has seen its revenue drop after challenging economic conditions in the festive period.
In the four months ending December 31, the online fashion retailer saw a fall in revenue of 3%, with UK sales seeing a dip of 8% from 2021.
The group recorded a global revenue of £1.3m, down 6% from 2021.
ASOS said this fall in revenue was broadly in line with its expectations, but anticipates a stronger second half to the financial year.
The retailer cited weak consumer sentiment as a reason for the fall in UK sales. It said this was particularly significant in September, which the group said was a result of “national newsflow”, and December, which was affected by disruption in the delivery market.
ASOS said that a comparatively strong December 2021, which saw an Omicron COVID variant push online sales up.
José Antonio Ramos Calamonte, ASOS chief executive officer, said: “We are undertaking necessary strategic and operational changes, with our focus shifting from prioritising top-line growth to building a more relevant and competitive fashion business with a disciplined approach”.
“We have made good early progress against a number of measures to simplify the business, including re-positioning our inventory profile, reviewing our operational model in our top markets and reducing our cost base. While there is more to do, I am pleased by the progress made in this period and am confident in the direction we are going”, he added.