On­line re­tailer ex­pected to surge

The Press and Journal (Aberdeen and Aberdeenshire) - - BUSINESS - BY HENRY SAKER-CLARK

Asos in­vestors are ex­pected to cheer surg­ing rev­enue as the on­line re­tailer looks to bounce back from a string of profit warn­ings.

In­vestors in the com­pany have had a re­al­ity check over the past 12 months, watch­ing shares slide by more than 50%.

The busi­ness plunged in value af­ter it warned on prof­its in De­cem­ber 2018 and July 2019, as it failed to live up to lofty ex­pec­ta­tions.

How­ever, it is still ex­pected to post dou­ble­fig­ure sales growth in its full-year re­sults on Wed­nes­day as cus­tomers con­tinue to favour on­line over the high street.

An­a­lysts fore­cast Asos will re­port a 12% jump in rev­enues to £2.7 bil­lion for the year to Au­gust.

For the new fi­nan­cial year, an­a­lysts are fore­cast­ing 15% sales

“An­a­lysts fore­cast a 12% jump in rev­enues”

growth to reach £3.1bn for the year.

The re­tailer has fore­cast it will post a pre-tax profit of be­tween £30 mil­lion and £35m, af­ter around £50m in re­struc­tur­ing and tran­si­tion costs. It is ex­pected to deliver a sig­nif­i­cant de­cline on prof­its from last year, when it de­liv­ered a pre­tax profit of £102m.

Asos warned over prof­its in July af­ter it said it had strug­gled in get­ting its Berlin and Ata­lanta fac­to­ries up to full speed.

Other events due to take place this week are:

To­mor­row – Fi­nals: Bell­way Homes. Trad­ing up­date: Hays, Marstons.

Wed­nes­day – Fi­nals: Asos. Trad­ing up­date: Bar­ratt Homes, Se­gro, BHP, Rio Tinto.

Thurs­day – Fi­nals: WHSmith.

Fri­day – Trad­ing up­date: Lon­don Stock Ex­change Group, In­ter­Con­ti­nen­tal Ho­tels.

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