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5th May 2021. 11.57am

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Boohoo (BOO) Full-Year Results

Boohoo FY earnings surge 37% as active customers top 18 million

Boohoo (BOO) released a bumper set of Full-Year earnings today as the pandemic supercharged shoppers transition from High Street to online…

The British online retailer, which has been busy snapping up distressed brands, has seen strong revenue growth across all geographies with UK up 39% and international up 44%.

Gross margin increased 20 basis points to 54.2%, and adjusted earnings jumped 37% to £173.6m.

Boohoo’s formidable acquisition war chest increased in size with net cash of £276m (2020: £240.6m).

CEO, John Lyttle commented:

“Our established businesses have continued to grow across all territories as we gain market share with our compelling consumer proposition. We completed over £250 million of acquisitions in the period, which included Oasis, Warehouse, Debenhams, Dorothy Perkins, Burton and Wallis, as well as the purchase of the remaining minority interest in PrettyLittleThing in a transaction that to date has resulted in substantial earnings enhancement for the group’s shareholders”.

Commenting on the controversial problems Boohoo have had with their supply chain, he added:

“We have also invested in improving the oversight and transparency of our supply chain and we are committed to embedding positive change through our ambitious UP.FRONT sustainability strategy.”

The shares have been chopping sideways in a broad range since the huge sell-off we saw in the summer. Should prices move back to the bottom of the range, they would look attractive given Boohoo’s strong fundamentals.

BOO Daily Candle Chart

BOO Daily Candle Chart

Disclaimer:

This research is prepared for general information only and should not be construed as any form of investment advice.