It’s not surprising to see online luxury platform doing well these days! Ever since the pandemic has hit the world, online has been eating away the retail sector.
This was evident yet again when British luxury clothing retail platform Farfetch came out with its third quarter report.
The fashion retailer saw its revenue jump by a whopping 71 per cent to register US $ 438 million in the third quarter that ended 30 September 2020.
Farfetch has said that the impressive numbers have pushed it one step closer to operational profitability.
From its digital platform, which does not include its third party brand platforms and stores, the revenue surged by 68.1 per cent to touch US $ 263 million.
The revenue rise from the digital section has also been attributed to its gross merchandise value that rose by 60.4 per cent Y-o-Y to US $ 674 million.
In-store revenue grew by 25.8 per cent to post US $ 11.4 million – all thanks to New Guards, which Farfetch had acquired last year.
Owing to the impressive performance of the digital platform, the gross profit for the retailer during the quarter too increased by 81.6 per cent to US $ 93.9 million.
The gross profit margin shot up to 47.8 per cent from 45.1 per cent.
Founded in 2007, Farfetch has its headquarters in London with branches in Porto, Lisbon, New York, Dubai and Tokyo, amongst others. Amongst the products it sells are clothes, fashion accessories and shoes.