First half of 2014 Zalando to achieve balance of business

Absrtact: Zalando, Europe's largest fashion dealer, released its initial two-quarter and medium-term results today, saying that in the first half of 2014, Zalando first achieved a balance of business, with gross income exceeding 1 billion euros to € 1.02 billion to 1.06 billion euros, compared with 8.0

Zalando, Europe's biggest fashion dealer, released its initial two-quarter and medium-term results today, saying the first half of 2014 Zalando to achieve a business balance, Gross receipts in the first half amounted to more than € 1 billion to € 1.02 billion to 1.06 billion euros, up from 809 million euros a year earlier, at least 26.1%.

Zalando SE also said that EBIT first appeared breakeven, mainly benefiting from EBIT profit margin, sales, marketing costs to achieve effective control.

Zalando SE Committee member Rubin Ritter reaffirmed the 2014 EBIT goal of achieving break-even.

As of the end of June, Zalando se revenue was between € 520 million to 560 million euros, up at least 19% from a year earlier, but it was smaller than the quarter-on-quarter growth of 501 million euros in the first quarter and a sharp slowdown from a year-on-year increase of 34.6% per cent. The mobile end of the second quarter accounted for 41% of the traffic, with more than 3.8 million app downloads.

This week, Reuters quoted data from the US internet research firm comscore Inc. (Nasdaq:scor) as a worrisome trend in Zalando se independent visitor growth. In the first two months of this year, Zalando SE recorded a single-digit growth in the number of independent personal computer visitors (unique visitors) in April and May, respectively, by 6% and 4% per cent over a year earlier, continuing the decline in the third quarter of last year, according to the agency's data. According to the no Fashion Chinese network data, Zalando SE September last year independent visitors increased by 53%, but in October and November fell to less than 40%, into 2014, the increase further slowed to January 17%, February 17.4% and March 11%.

Zalando SE, which is expected to announce its listing in September this year, is considering scaling back the IPO. The news is that Zalando SE had planned to have an IPO of more than 1 billion euros, making it the largest technology-tech IPO in Europe since 2000. But because shareholders are unwilling to sell too much, there is also a limit to the increase in equity, and since global technology has been under pressure this year, only about percent's Zalando se stake will be used for public placements and the IPO will be reduced to 3.8 to 570 million euros. The market valuation of Zalando SE is € 3.8 billion.

Zalando SE will publish its official version of earnings by the end of August.