Zalando finally makes a profit in Q2
Zalando has revealed it made profits for the very first time in the second quarter of a year. It took them six years, but the Germany-based startup finally did it. Europe’s biggest online fashion retailer said revenues for Q2 were 19-28% higher than the same period last year. During the first half of the year it made revenues of more than 1 billion euros.
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And so there was finally an operating profit for the second quarter of this year; Zalando scored break-even for the first half of the year after a loss during the first quarter. CEO Rubin Ritter told Reuters: “You see very clearly in the first half that we are on track to getting there”, although he didn’t give any precise figures. Zalando has turned a profit before, but that was in the fourth quarter of the year. And that’s not something that’s so hard t accomplish for Zalando, as the holiday seasons is a gold mine for retailers.
Ritter also didn’t want to tell if the online fashion retailer expected to be profitable in 2015 as a whole. But he did tell Zalando was making significant progress and was is gaining market share. Back in July 2013 we already wrote an article called “Zalando is certain of making profits” in which Ritter said there’s no question about Zalando being profitable in the future.
And two months ago we wrote that Zalando is getting closer to making a profit. “Even if Zalando doesn’t quite reach the break-even point in 2014, it should take a significant step towards it, Ritter said at a media conference call.”