ASOS has reported a drop in revenue in its latest annual results, but the online fashion retailer narrowed its losses as its turnaround plan continues to take effect.
The group’s revenue dropped from £2.9 billion last year to £2.5bn this year, with customers also falling from 19.7 million to 17m.
However, operating performance moved the right way, with the London-based firm posting an operating loss of £212m, a significant improvement on last year’s £332m.
Adjusted EBITDA also rose by £52m compared to last year to £132m.
Management pointed to progress on cost control and a more disciplined approach to buying and discounting, alongside early momentum from the relaunch of Topshop and Topman.
It has said its operating model is becoming leaner and more resilient, giving it room to reinvest in product, brand and customer experience into FY26.
The results also mark a leadership handover at board level, with Jørgen Lindemann stepping down to be replaced by former Google and Amazon CFO Natasja Laheij.
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“FY25 was not just a year of recovery but one of reinvention,” said Lindemann.
“We have laid the groundwork for a more focused, agile, and customer-centric ASOS.
“As we look ahead, we remain committed to delivering fashion that inspires, experiences that connect and value that endures.
“As previously announced, after three incredible rewarding years I will step down as chair upon release of our FY25 results and Natasja Laheij will become chair.
“I am immensely proud of what our team has achieved together. It has been a privilege to witness such dedication, resilience, and innovation across the organisation.
“I believe this is the right time to move on, and I do so with complete confidence in Natasja Laheij’s upcoming tenure.
“I am certain she will lead the company in its next chapter to even greater success. Thank you all for your enduring commitment and support and for your continued belief in our journey.”
ASOS floated on the London Stock Exchange over 20 years ago in 2001 with a share price of 24p.
This then peaked in 2018 at around 7,630p per share, but it now sits at 258.5p and has dropped by more than 40% over the course of the year.