DGAP-News

Zalando to continue on growth path in 2015

DGAP-News: Zalando SE / Key word(s): Final Results/Quarter Results
Zalando to continue on growth path in 2015

05.03.2015 / 08:00

---------------------------------------------------------------------

Zalando to continue on growth path in 2015

- Eyes revenue growth target corridor of 20-25 per cent

- Expects 2015 EBIT margin broadly around 2014 level

- Company to expand fashion platform in 2015, large scale new hires

- Concluded 2014 successfully, DACH clearly profitable

Berlin, 5 March 2015 - Zalando SE, Europe's leading online fashion
platform, eyes continuing its growth path in 2015 with a revenue growth
target corridor of 20-25 per cent. The company will continue to focus on
delivering profitable growth and capital efficiency. Zalando expects the
2015 EBIT margin to be broadly around the strong level of 2014, driven by
investments in long-term growth: Zalando will further expand its fashion
platform and increase capabilities to connect customers and brands. Several
projects are already underway, among them Zalando's recently launched
curated shopping service and deepened categories, for example in women's
sportswear. To support expanding its fashion platform, Zalando will hire
new employees on a large scale.

Rubin Ritter, Member of the Management Board, said: "Zalando is in the pole
position to continue to outgrow and drive the European online market in
fashion. We have unrivaled access to customers and brands and have the
necessary infrastructure with capacity for future growth. We will certainly
not take the foot off the gas, not even a bit."

Zalando had a very successful year 2014 with continued strong revenue
growth above market and for the first time achieved annual group wide EBIT
profitability, confirming preliminary figures. Group revenues in 2014 were
up about 26 per cent to EUR 2.2 billion (2013: EUR 1.8 billion), further
increasing Zalando's market share in European online fashion. The DACH
segment grew about 17 per cent to EUR 1.2 billion (2013: EUR 1.1 billion),
while the Rest of Europe segment grew about 37 per cent to EUR 0.9 billion
(2013: EUR 0.6 billion). Zalando achieved a group wide adjusted EBIT of EUR
82 million (2013: EUR -109 million), corresponding to an adjusted EBIT
margin of 3.7 per cent. The DACH region is now clearly profitable with an
adjusted EBIT of EUR 83 million (2013: EUR 8 million) or a margin of 6.7
per cent (2013: 0.8 per cent). The Rest of Europe segment is on an