Online luxury retailer Farfetch has released its Q4 and full-year results, which show continued growth in revenue but no signs of profitability yet. Despite facing widening losses, the company remains optimistic due to its rapid expansion in other areas. In 2019, Farfetch achieved revenue of over $1 billion, marking a 69% YoY increase. Additionally, its gross merchandise value (GMV) exceeded $2 billion, representing a 52% rise. During Q4, Farfetch saw a 36% growth in GMV for its Digital Platform, while its Brand Platform achieved $102 million in GMV. This success was largely driven by high demand across the New Guards portfolio.
Although the company is still not profitable, it did experience a sequential improvement in gross profit margin in the final quarter. Farfetch’s CEO, José Neves, remains confident in the company’s ability to capture the majority of the $100 billion potential increase in the online luxury market. Neves also highlighted the positive impact of the New Guards acquisition, which has positioned Farfetch as a significant owner of luxury brands. However, the company is cautious about the current uncertainties resulting from the coronavirus outbreak.
– For more information on Farfetch’s Q4 and full-year results, visit this link.
– To learn more about Farfetch’s growth strategy and its potential in the online luxury market, click here: https://www.farfetchinvestors.com/growth-strategy.aspx.