About You maintains outlook after positive Q1

European ecommerce platform About You improved its adjusted EBITDA to 15 million euros and its EBITDA to 9.1 million euros in the first quarter.

Revenue growth for the quarter was 2.2 percent to 518.3 million euros and contributed to the increase in the adjusted EBITDA margin to 2.9 percent.

Despite a volatile market environment, the About You Group continues to expect revenue growth in the range of 1 percent to 10 percent in FY 2024/2025.

"As we celebrate our tenth anniversary, we are proud to have strengthened our margin and liquidity through efficiency gains and cost control. Investments in marketing and technology across both our business units will be the catalyst for accelerating our Group revenue growth going forward," says Tarek Müller, About You Group's co-founder and co-CEO in a statement.

The company said that with optimised inventories and a lower discount intensity, the gross margin rose to 43.2 percent in the first quarter.

In Germany, Austria, and Switzerland (DACH segment), revenue grew by 1.6 percent to 252.7 million euros, with positive growth rates in Germany. All other European markets (Rest of Europe segment, RoE segment) achieved a 2.3 percent growth in revenue to 234.1 million euros in the first quarter.

The average order value increased by 6.7 percent to 58.5 euros per order in the last twelve months, with an average order frequency of 3.1 orders per customer.

The revenue growth combined with an increased gross margin and improved fulfilment and administrative cost-to-revenue ratios, is expected to lead to adjusted EBITDA between 10 million euros and 30 million euros.

The company’s management board anticipates double-digit growth rates for the group from FY 2025/2026 onwards.