Surging demand for floral prints and smooth tailor-made clothes have helped Boohoo submit an enormous bounce in income for 3 months to the top of Might.
The quick trend retailer, which additionally owns PrettyLittleThing and Nasty Gal, mentioned sturdy block colors and ankle boots had additionally bought nicely.
Group gross sales jumped 39% to £254.3m, though Boohoo’s lofty revenue margins dipped.
It got here as Zara-owner Inditex posted file gross sales of €5.9bn for the quarter.
The expansion contrasts with powerful occasions seen at many different retailers – notably these centered on the UK Excessive Road.
- Union claim Boohoo ‘found wanting’
- Web designer sues Boohoo boss for £118m
- Boohoo advertised real fur as fake
Simply this week shares in Ted Baker dived 24% after it posted a revenue warning.
In the meantime, the way forward for Philip Inexperienced’s Arcadia, which owns Topshop and Dorothy Perkins, is hanging within the stability because it tries to safe a rescue deal to keep away from going into administration.
“Boohoo continues to defy the broader gloom on the Excessive Road because of its attraction amongst youthful consumers with the tight advertising and marketing focus round celebs and social media paying off.
“There are doubts although about whether or not it might keep margins in addition to this speedy gross sales progress, however for now it is the one of many brightest stars in an in any other case fairly darkish sky,” mentioned analyst Neil Wilson from Markets.com.
Based in Manchester in 2006, Boohoo has turn into successful with millennial consumers by promoting discount, own-brand clothes that mirrors the most recent superstar tendencies.
It does all its commerce on-line, avoiding the challenges confronted by bricks-and-mortar retailers resembling excessive store rents and enterprise charges.
Nevertheless, it has confronted questions on its manufacturing processes and its approach to workers’ rights.
On Wednesday shares within the agency opened decrease amid issues about its revenue margins, however later rebounded. The corporate’s shares are up greater than 40% this 12 months.
It additionally mentioned it was on the right track to submit income progress of 25-30% for the total 12 months.
It got here as Spain’s Inditex, which in addition to Zara additionally owns such manufacturers as Bershka and Pull & Bear, reported a 10% bounce in income for the primary quarter as on-line gross sales surged.
The agency, which operates in 90 international locations, mentioned gross sales within the first six weeks of the second quarter had been additionally up, as consumers snapped up gadgets like jewel-toned blazers and long-printed clothes from Zara’s spring collections.