ASOS PLC

Latest Results (25.07.2026):

ASOS Plc — interim results for the 26 weeks to 1 March 2026 (H1 FY26, covering Q1 and Q2 of FY26): the company reports clear operational progress and margin recovery despite lower top-line GMV; adjusted EBITDA rose 51% YoY and adjusted gross margin improved by 330bps, while GMV and adjusted revenue remained down (‑9% and ‑14% respectively). FY26 guidance is reiterated.

Headline financials

GMV £1,170.1m (‑9% YoY); adjusted group revenue £1,113.5m (‑14% YoY). Adjusted gross margin 48.5% (+330bps YoY). Adjusted EBITDA £64.0m (+51% YoY). Adjusted loss before tax £52.4m (improved vs prior year). Statutory operating loss narrowed to £100.9m.

Profitability drivers

Margin gains from the new commercial model, higher full‑price mix and Flexible Fulfilment drove an 8‑quarter streak of gross margin improvement (c.600bps over 3 years) and a ~30% YoY increase in profit per order.

Customer and topline trajectory

GMV decline slowed sequentially: UK outperformed at ‑5% GMV YoY. New customer trends improving (UK new customers ~+10% YoY; Group new customers +9% in March) and churn reduced (~150bps YoY in H1), giving early signs of top‑line recovery.

Operational efficiency and supply chain

Supply chain cost to serve fell 150bps YoY (over 500bps improvement in 3 years). Warehouse optimisation, carrier renegotiations and Berlin automation plans are cited as drivers of lower unit costs and improved time‑to‑market.

Returns, app and AI initiatives

New returns transparency reduced underlying returns rate by c.160bps YoY. App revamp and AI usage (c.50 app enhancements, AI Studios, AI Assistant) are already lifting engagement and sample metrics (c.9% uplift in net sales per customer; c.10% uplift in orders per customer).

Flexible Fulfilment and assortment

Flexible Fulfilment scaled to >20% of 3rd‑party GMV; ASOS Fulfilment Services (AFS) increased 3rd‑party contribution by 9ppts HoH. c.60 new partner brands onboarded in H1, bolstering product breadth and full‑price availability.

Cash, debt and adjusting items

Free cash outflow £92.6m in H1 (seasonal and higher interest timing); net debt (ex‑leases) £294.9m (up ~£19m YoY, mainly non‑cash interest effects). Adjusting items £85.5m included a £67.3m non‑cash technology impairment related to ERP replatforming.

Tariff impact and remediation

Introduction of US IEEPA tariffs cost ~£7m in H1; ASOS says it has initiated the process to pursue refund claims and implemented mitigations to protect service and margins.

Capital actions and post‑period event

Group refinanced term loans in Nov 2025; subsequent to period‑end ASOS repaid the 2026 Convertible Bonds in full for £73.6m cash — part of ongoing capital and liquidity management.

Outlook

FY26 guidance reiterated: adjusted EBITDA £150–180m, gross margin to improve at least 100bps to c.48–50%, GMV to show improving trajectory (3–4ppts ahead of revenue) and broadly neutral free cash flow for the full year.