Zalando SE reported slightly lower revenue for 2022 as more consumers went back to in-store shopping after coronavirus restrictions subsided. The German online retailer
on Tuesday posted annual revenue of 10.34 billion euros ($11.05 billion), down 0.1% from 2021. Gross merchandise volume–a key indicator of sales performance–increased 3.2% to EUR14.80 billion.
Zalando enjoyed turbo-charged growth during the pandemic as coronavirus restrictions forced consumers to shop online. However, the easing of the pandemic and the lifting of those restrictions last year meant shoppers are now largely back in stores. Net profit slumped to EUR16.8 million from EUR234.5 million the previous year. Adjusted earnings before interest and taxes–Zalando’s preferred measure of profitability–fell to EUR184.6 million from EUR468.4 million, generating an adjusted margin of 1.8%. Zalando said in November that it expected annual sales growth of up to 3%, gross merchandise volume rising by 3%-7%, and adjusted earnings between EUR180 million and EUR260 million, though it cautioned these should come in at the lower end of forecasts. For 2023, Zalando said revenue could fall up to 1% or grow up to 4%. Gross merchandise volume should rise by 1% to 7%, and adjusted earnings is expected between EUR280 million and EUR350 million. Write to Mauro Orru at email@example.com; @MauroOrru94