UK-based fashion company Boohoo reported that its Q1 sales increased by 39%, as the demand for all of its brands is rising sharply.
The retailer reported sales rose to £254.3 million, beating the consensus estimates. The company also saw a revenue jump of 27% to £123.5 million.
“The group has made a strong start to the year as we continue to disrupt and capture market share in the UK and internationally across all our brands,” said the recently appointed CEO John Lyttle.
As for the full-year forecast, Boohoo predicts a 25-30% revenue spike and a core profit margin close to 10%.
“Boohoo has again beaten high expectations, despite macro headwinds,” said Caroline Gulliver an analyst at Jefferies Group.
However, Boohoo is currently looking at a £118.5 million lawsuit filed by an IT worker Richard Womack. Womack said he provided his IT services to the company’s co-founder Mahmud Kamani, claiming he was promised a 10% share of the company in return.