Online retailer Zalando raises 2025 guidance after About You acquisition
FILE PHOTO: Zalando packaging from an online delivery is seen discarded in a cardboard box in Galway, Ireland, August 27, 2020. Picture taken August 27, 2020. REUTERS/Clodagh Kilcoyne/File Photo
German online fashion marketplace Zalando raised its 2025 guidance on Tuesday after adjusting its projections to include newly acquired About You.
The Berlin-based company said it expected gross merchandise volumes to grow by 12-15 per cent, up from a previously expected range of 4-9 per cent.
Zalando is investing heavily in its European logistics network, which it has also opened up to partners as it seeks to drive growth amid faltering consumer spending and competition from fast-fashion retailers such as Chinese rival Shein.
The About You acquisition was completed in early July, valuing Zalando's smaller rival at 1.13 billion euros ($1.31 billion).
The company also said it achieved second-quarter gross merchandise volumes of 4.06 billion euros, up from 3.86 billion euros a year earlier.
($1 = 0.8634 euros)
