Luxembourg: Global Fashion Group S.A. (“GFG”), the leading online fashion and lifestyle destination in growth markets, reported quarterly Revenue and NMV growth of 10.8% and 11.8% respectively, with Gross Margin and Adj. EBITDA improvements.

Q2 2021 Q2 2022 H1 2021 H1 2022
Revenue* (€m) 397.3 505.9 698.6 855.1
% Constant Currency Growth 24.2% 10.8% 25.2% 13.9%
% € Growth 18.2% 27.3% 15.0% 22.4%
NMV* (€m) 610.1 792.1 1,060.0 1,335.3
% Constant Currency Growth 32.0% 11.8% 34.4% 16.5%
% € Growth 25.0% 29.8% 23.2% 26.0%
Gross Profit (€m) 183.7 253.1 316.6 410.5
% Margin of Revenue 46.2% 50.0% 45.3% 48.0%
EBIT (€m) (15.4) (17.0) (51.1) (51.2)
Adjusted EBITDA (€m) 11.6 51.6 0.1 40.3
% Margin of Revenue 2.9% 10.2% 0.0% 4.7%

* NMV is the value of both Retail and Marketplace merchandise being sold through our platforms. Revenue is the Retail value plus the commission earned on a Marketplace transaction and is therefore disconnected from true volume.
** Pro-forma cash is defined as cash and cash equivalents at the end of the period, short term duration bonds and securitised funds plus restricted cash and cash on deposits. Pro-forma net cash is pro-forma cash excluding third party borrowings and convertible bond debt.
*** Pro-forma cash is defined as cash and cash equivalents at the end of the period, short term duration bonds and securitised funds plus restricted cash and cash on deposits. Pro-forma net cash is pro-forma cash excluding third party borrowings and convertible bond debt. 


Q2 2022 Highlights (growth rates at constant currency)

  • Net Merchandise Value* growth of 11.8% (Q2/21: 32.0%)
  • Revenue growth* of 10.8% (Q2/21: 24.2%)
  • Marketplace NMV grew 24.2% yoy (Q2/21: 63.3%), achieving 39.4% share of total NMV 
  • Gross Margin 50.0% (Q2/21: 46.2%) and Adj. EBITDA Margin 10.2% (Q2/21: 2.9%)
  • Active Customers down 4.6%, Order Frequency increasing 5.6% and NMV per Active Customer up 23.3% to €164.8
  • Pro Forma cash** of €500m and Pro Forma net cash** of €200m 


Christoph Barchewitz and Patrick Schmidt, Co-CEOs of GFG, said: “We delivered our results under difficult circumstances with all of GFG’s regions facing varying volatile environments, which our team adapted to well. Despite the challenges in the quarter, we have continued to deliver against GFG’s strategic priorities. Our Marketplace share has grown to nearly 40% of NMV, we continue to have a large Active Customer base of over 16 million and in Q2 our customers made nearly 12 million orders. We remain confident in our strategy and the long-term opportunity as we continue to develop our business as the leading online fashion & lifestyle destination in growth markets.”



For the full year, the Group expects to deliver NMV growth of 10-15% representing c.€2.9 to €3.0 billion, c.€1.9 billion of revenue, all on a constant currency basis and an adjusted EBITDA margin of 3.0% to 5.0%. Capex investment will be around €65 million in FY2022. All ranges provided are based on FX rates per the end of Q2 except for a planning RUB to EUR exchange rate of 70.

Across ANZ, SEA and LATAM, GFG expects similar dynamics to the first half, and is no longer lapping pandemic peaks, which is offset by a more challenging macroeconomic backdrop. There are a number of scenarios for CIS and the outlook is based on a more conservative view for both sales and profitability.


Business Review

Our Euro reported numbers have been affected by higher exchange rates for the Russian Ruble and Brazilian Real, the growth rates described below are on a constant currency basis.

In Q2, GFG delivered NMV of €792.1 million, up by 11.8% yoy. The Group has 16.2 million Active Customers, down 4.6% yoy reflecting subdued demand and the reduced levels of marketing investments. NMV per Active Customer was up by 23.3% as a result of higher Order Frequency, up 5.6% and Average Order Value, up 23.4%. AOV was predominantly driven by inflation and higher full-price mix, number of items and country mix. Marketplace NMV continues to scale faster than Retail and increased by 24.2% yoy reaching 39.4% of NMV. Our largest brand partners are increasingly choosing to operate across both Retail and Marketplace models.

CIS delivered NMV growth of 39% driven by continued demand in the online fashion & lifestyle segment and one-off average selling price dynamics. As planned, the operations were pared back and the business set up for operational and financial self-sufficiency. The combination of the demand, currency movements and reducing costs led to elevated Adjusted EBITDA. In Q2, GFG did not make additional financial investments into, or take distributions from lamoda whilst evaluating a range of further options.

In LATAM, NMV declined 15% as the team continued to prioritise customer experience improvements ahead of growth. In H1, customer NPS has increased by 15ppts driven primarily through improved delivery times. SEA’s NMV declined 6% as demand continues to be under pressure and there has been a more gradual reopening post COVID. ANZ grew strongly with 19% NMV growth, on top of last year’s 67% Q2 growth. This was driven by an increase in returning customers with higher AOV as customers chose to shop across multiple categories. Gross Margin was well-managed across all regions despite industry headwinds and we continue to deliver operating leverage.

GFG has a strong funding position with Pro Forma cash*** of €500m and Pro Forma net cash*** of €200m (excluding the Convertible Bond and other third party debt) at the end of the Quarter.

The Group released its 2021 People & Planet Positive Report in April which includes GFG’s 2021 achievements and Science Based Targets that were approved in May.



Key Performance Indicators

Q2 2021 Q2 2022 H1 2021 H1 2022
Active Customers (m) 17.0 16.2 17.0 16.2
% Constant Currency Growth 15.8% (4.6)% 15.8% (4.6)%
NMV / Active Customer (€) 127.3 164.8 127.3 164.8
% Constant Currency Growth 14.9% 23.3% 14.9% 23.3%
% € Growth 0.9% 29.5% 0.9% 29.5%
Number of Orders (m) 12.9 11.7 22.6 21.9
% Growth 21.7% (9.4)% 26.1% (3.2)%
Order Frequency 2.8 2.9 2.8 2.9
% Growth 9.6% 5.6% 9.6% 5.6%
Average Order Value (€) 47.4 67.9 46.8 60.9
% Constant Currency Growth 8.5% 23.4% 6.6% 20.4%
% € Growth 2.7% 43.3% (2.3)% 30.1%


KPI and financial definitions, including alternative performance measures are available in the 2021 Annual Financial Report. 

Forward-looking Information
This announcement contains forward-looking statements. Forward-looking statements should not be construed as a promise of future results and developments and involve known and unknown risks and uncertainties. Various factors could cause actual future results, performance or events to differ materially from those described in this announcement, and neither the Company nor any other person accepts any responsibility for the accuracy of the opinions expressed in this announcement or the underlying assumptions.

About Global Fashion Group
Global Fashion Group is the leading fashion and lifestyle destination in growth markets across LATAM, CIS, SEA and ANZ. From our people, to our customers and partners, we exist to empower everyone to express their true selves through fashion. Our four e-commerce platforms: dafiti, lamoda, ZALORA and THE ICONIC connect an assortment of international, local and own brands to more than one billion consumers from diverse cultures and lifestyles. GFG’s platforms provide seamless and inspiring customer experiences from discovery to delivery, powered by art & science that is infused with unparalleled local knowledge. Our vision is to be the #1 online destination for fashion & lifestyle in growth markets, and we are committed to doing this responsibly by being people and planet positive across everything we do.