Amidst worsening economic conditions, German e-tailer Zalando has lowered its guidance for the financial year 2022.
The online retailer expects gross merchandise volume (GMV) for 2021/2022 to grow by 3 per cent to 7 per cent to € 14.8 billion to € 15.3 billion.
As per the revised forecast, Zalando now expects its revenue to grow by 0 per cent to 3 per cent to clock € 10.4 billion to € 10.7 billion, with an adjusted EBIT of € 180 million to € 260 million.
Previously, Zalando had estimated 5 per cent GMV growth, in addition to 1.5 per cent revenue growth and a € 104 million adjusted EBIT.
Notably, the e-tailer is also introducing a minimum order value across 15 additional markets.
Here it is important to mention that the e-tailer’s second quarter was weaker than expected despite being profitable.
Founded in 2008, Berlin-based Zalando also has offices (tech hubs) in Dublin, Ireland; Dortmund, Germany and Helsinki, Finland.
