Zalando: shares fall after 2018 guidance cut
(CercleFinance.com) - Shares in Zalando are down over 11% on Tuesday after the German online fashion retailer cut its 2018 guidance due to an unusually hot summer period.
The Berlin-based group said late on Monday that it would not reach its target of adjusted EBIT at the low end of a 220-270 million euros target range this year.
Instead, the company now expects 2018 adjusted EBIT of 150-190 million euros.
Zalando also said that it now expected revenue growth around the bottom of its 20-25% target growth range, compared to the lower half of such corridor previously.
In a statement, Zalando said the "extended" and "unusually hot" summer period has caused a delayed switch to the fall/winter season, weighing on revenue and profit.
At midday, Zalando shares were trading down 11.4% at 37.1 euros, after a low of 33.7 euros was reached earlier in trading.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The Berlin-based group said late on Monday that it would not reach its target of adjusted EBIT at the low end of a 220-270 million euros target range this year.
Instead, the company now expects 2018 adjusted EBIT of 150-190 million euros.
Zalando also said that it now expected revenue growth around the bottom of its 20-25% target growth range, compared to the lower half of such corridor previously.
In a statement, Zalando said the "extended" and "unusually hot" summer period has caused a delayed switch to the fall/winter season, weighing on revenue and profit.
At midday, Zalando shares were trading down 11.4% at 37.1 euros, after a low of 33.7 euros was reached earlier in trading.
Copyright (c) 2018 CercleFinance.com. All rights reserved.