Asos shares slump despite strong sales
Asos has posted a 10% rise in half-year profits to £29.9 million. It also reported retail sales of £1.13 billion for the six months to 28th February, up 27% compared to the same period in the previous year. Whilst its site attracted more than a billion visits for the first time.
Nick Beighton, CEO, comments: "These results show strong trading at the same time as we are making substantial investment in our future. Our customer engagement is going from strength to strength and we've achieved more than a billion site visits for the first time. Alongside our investment in our people and our technology, we are accelerating investment in our distribution and logistics, laying the foundation for £4 billion of net sales, a further step in building Asos into the world's number one destination for fashion loving 20-somethings."
The substantial investment side of things saw shares slump 9% in early trading, as Asos revealed plans to reinvest up to £250 million in its operations.