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Nov 4 2022, 07:00 GMT
Disruptive technology
Fashion players’ forecast update: ‘The Times They Are A-Changin'
- Companies : HelloFresh SE | Kainos Group plc | Baltic Classifieds Group plc | musicMagpie plc | Deliveroo plc | DoorDash Inc | OnTheMarket plc | Sosandar plc | Trustpilot Group plc | Just Eat Takeaway.com | Auto Trader Group plc | Carvana Co | Cazoo Group | Purplebricks Group plc | Darktrace plc | On the Beach Group plc | Marks Electrical Group plc | AO World plc | Delivery Hero | Made.com Group plc | Virgin Wines UK plc | GB Group plc | ASOS plc | Rightmove plc | boohoo group plc | Itsarm plc | Moonpig Group plc | Naked Wines plc | Auto1 Group SE
DAVY VIEW
The cost-of-living crisis made for a tough reporting cycle for both ASOS (ASC) and Boohoo Group (BOO), and we therefore reduce expectations materially for FY23, FY24 and FY25. ASC renews its focus with a new CEO; we expect some market share gains but factor in a £100-130m inventory impairment for its change in model to focus on the ‘fresh fish’ of fashion. BOO has less low hanging fruit to grab; we increase our admin costs to reflect H123’s higher costs, including the higher interest expense.
