Asos beats expectations with 47pc rise in summer sales
The company, founded in 2000, is now worth £4.3bn after a doubling of its share price in the last year.
Asos said that sales rose 49pc in the UK in the three months to August 31, accelerating growth for the full-year to 34pc.
On top of this, US sales rose 59pc over summer, Europe increased 73pc, and the rest of the world, including Australia, 26pc.
Revenues for the full-year are expected to reach £769m, a 39pc rise on last year, with the UK accounting for £276m. This means that if Asos’s current growth continues, it will clear £1bn of annual revenues next year.
Nick Robertson, chief executive, said: “People were writing us off in the UK. Last year we took decisive action and it has paid dividends.”
The surge in Asos sales comes on the back of a new report from Verdict that claims online shopping will account for £1 in every £7 spent by 2018.
Shares in Aim-listed Asos rose 360p to £51.93 in early trading as the company said the performance in the last three months means annual profits will be “above expectations”.
Wayne Brown, analyst at Canaccord Genuity, said: “The ability to adopt a ‘disruptive pricing model’ sourced from multiple drivers, the key element being volume, is delivering significant opportunity.
“In the next 12 months this will not only come from further price investment but the ability to enter into new markets and invest greater depth in core.
“International growth continues to be driven by the countries in which there are dedicated websites and in-country teams, and was particularly strong in Europe, driven by France, Germany, Italy and Spain.
“Strong growth in the US and in Russia, following the launch of the Russian website will continue to underpin International growth.”