EQS-News

GLOBAL FASHION GROUP REPORTS Q1 2024 RESULTS

EQS-News: Global Fashion Group S.A. / Key word(s): Quarter Results GLOBAL FASHION GROUP REPORTS Q1 2024 RESULTS 30.04.2024 / 08:00 CET/CEST The issuer is solely responsible for the content of this announcement. GLOBAL FASHION GROUP REPORTS Q1 2024 RESULTS

Luxembourg, 30 April 2024 - Global Fashion Group S.A. (“GFG”), the leading online fashion and lifestyle destination in LATAM, SEA and ANZ, delivered margin gains against continued demand pressure in Q1 as a result of strong inventory management and platform business growth.

Q1 2024 Highlights (growth rates at constant currency)

• Net Merchandise Value decrease of 16.5% (Q1/23: 7.1%)
• Revenue decrease of 18.8% (Q1/23: 10.3%)
• Marketplace NMV achieved 41% share of total NMV (Q1/23: 37%)
• Gross Margin 44.0% (Q1/23: 41.0%) and Adj. EBITDA Margin (11.3)% (Q1/23: (12.1)%)
• Active Customers decrease of 18.5%, Order Frequency decrease of 5.7%
• Pro-Forma Cash of €320.8m and Pro-Forma Net Cash of €135.5m¹

 

Christoph Barchewitz, CEO of GFG, said:

“We are progressing our strategy with our platform transition and cost efficiency programme delivering improvements in profitability in Q1. Both Gross Margin and Adj. EBITDA margins expanded despite topline pressure. I am pleased by how we are not only implementing our strategy but also actively adapting it with new initiatives, demonstrating our commitment to navigating this market with creativity and differentiation.”

In Q1 2024, GFG delivered a Net Merchandise Value (“NMV”) of €239 million, representing a 16.5% decrease yoy as customer demand remained under pressure. Orders declined by 18.1% as a result of lower traffic and conversion rates. Average Order Value increased 1.9% in Q1 reflecting inflation impacts being mainly offset by lower items per order.

In LATAM, consumer spending weakness and intense competition led to an 18.1% decline yoy in NMV. The region is refining its strategy and further prioritising cost controls to address these market challenges. SEA achieved the most significant improvement in Gross Margin, increasing 5ppt to 44.6% despite an NMV decline of 15.0%. In ANZ, NMV decreased by 16.4%. This reflects ANZ’s relatively stronger year-on-year comparator as the consumer spending slowdown began later than in LATAM and SEA.