Bloomberg News

Yoox Forecasts Higher Earnings This Year After Sales Accelerate

March 05, 2013

Yoox Group (YOOX), the operator of e- commerce stores for brands from Armani to Zegna, said it expects to increase earnings this year as it invests in logistics and technology after sales accelerated in the fourth quarter.

Revenue gained about 18 percent in the last three months of 2012 compared to the third quarter. Full-year revenue rose 29 percent to 375.9 million euros ($490 million). Net income climbed to 10.2 million euros from 10 million euros a year earlier, the Bologna, Italy-based company said today in a statement.

Yoox is gaining orders as value-conscious customers search for deals online and increasingly shop for clothing and accessories via phones and tablets. Visits to Yoox’s websites via mobile channels in December accounted for about a quarter of traffic, the company said. Investments for this year will focus on service and operational efficiency, it said.

“2013 can be another successful year,” said Chief Executive Officer Federico Marchetti, the company’s founder. The goal is to always provide customers “with the best shopping experience on all channels.”

Yoox shares advanced 2.4 percent to 14.95 euros in Milan, extending the gain this year to 25 percent.

The average number of unique monthly visitors to Yoox’s websites surged 25 percent to 13 million in 2012, it said. The number of orders increased 13 percent to 2.3 million and the average order value gained 15 percent to 206 euros, Yoox said.

PPR Venture

Yoox, which last year set up an e-commerce venture with PPR SA (PP), designs and manages online stores for more than 30 fashion and luxury goods brands as well as selling third-party products via the yoox.com, thecorner.com and shoescribe.com multibrand websites.

Multibrand revenue climbed 23 percent to 262 million euros, Yoox said. Sales from single-brand stores such as valentino.com and zegna.com climbed 45 percent to 113.9 million euros. Growth was strongest in Asia and North America, the company’s largest market, it said.

“It is reasonable to expect that both business lines and all the key markets in which the group operates will contribute to this growth in a more balanced way,” Yoox said.

To contact the reporter on this story: Andrew Roberts in Paris at aroberts36@bloomberg.net

To contact the editor responsible for this story: Celeste Perri at cperri@bloomberg.net


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