Zooplus sticks to its sales target

In its half-yearly report, Zooplus AG confirmed sales revenues amounting to 643 mio euros for the first six months of 2018. These figures had already been released back in mid-July on the basis of preliminary data. Growth came to 24 per cent compared with the same period last year (517 mio euros). Adjusted for currency effects, the growth in sales even climbed to 25 per cent.
In spite of this, Zooplus shares plummeted between the announcement of the preliminary sales figures and the release of the half-yearly report on 22 August. Brokers reacted to the news with massive sales. After trading at over 160 euros in mid-July, the shares fell to just over 140 euros in August.
Publication of the half-yearly report brought a rally in the share price. The report stated that earnings before tax (EBT) in the first six months at -9.2 mio euros were significantly down on the same period in the previous year (+5.1 mio euros). Zooplus attributes this to substantial investment in marketing, staff and the fulfilment centre in Great Britain, which was tripled in size in the second quarter. The disproportionate growth of 37 per cent in private labels for food and litter was also highlighted in the report. Double-digit sales growth was recorded in all 30 country markets in the first six months of the current year.
The board expects to see a marked improvement in results in the second half of the year. Zooplus also aims to continue the positive development of its gross profit rate. There is to be a stronger focus on improving cost efficiency, with the company sticking to its sales target of two bn euros by 2020.