Last close As at 05/08/2026
EUR0.79
— 0.00 (0.00%)
Market capitalisation
EUR17m
Research: Consumer
fashionette’s Q221 results demonstrated KPI trends that were consistent with previous quarters (growing customers and order numbers), but with lower average order values. Growth rates slowed versus Q121 owing to the tougher comparative due to the boost from COVID in Q220. Migration issues on the transition to a new logistics partner led to a recent downgrade in management guidance for FY21, but it is confident of a return to strong growth in Q4, the traditional peak selling period. The FY21 EV/EBITDA multiple of 30.5x is in line with online peer multiples.
fashionette |
Strong re-acceleration required in Q421
Retail |
Scale research report - Update
13 September 2021 |
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fashionette’s Q221 results demonstrated KPI trends that were consistent with previous quarters (growing customers and order numbers), but with lower average order values. Growth rates slowed versus Q121 owing to the tougher comparative due to the boost from COVID in Q220. Migration issues on the transition to a new logistics partner led to a recent downgrade in management guidance for FY21, but it is confident of a return to strong growth in Q4, the traditional peak selling period. The FY21 EV/EBITDA multiple of 30.5x is in line with online peer multiples.
Q221: Growth slowed versus strong comparative
Net revenue growth of 19% in Q221 was driven by an increase in the number of new customers (+30% y-o-y), active customers (+52%) and orders (+29%). The average order value declined by 7% due to category mix. Growth rates for revenue, new/active customers and number of orders slowed versus Q121, attributed to the strong Q220 comparative boost provided by COVID, as well as the challenges of servicing UK customers post Brexit (higher transport prices and longer delivery timelines). Gross margin declined by 264bp y-o-y to 37.1% (excluding other income) as competitors began the traditional Q3 discounting period in Germany in April – earlier this year than in prior years. The lower gross margin, higher marketing costs (+75%) and distribution costs (+29%), partially compensated by personnel costs, led to a lower adjusted EBITDA margin of 1.4% (8.9% in Q220). Negative free cash flow generation (inventory investment) led to a lower period-end net cash position of €21.3m (€31.8m at end FY20).
FY21: Management reduced guidance
On 26 August, management reduced FY21 guidance due to temporary issues on the migration to a new logistics partner (May to August). At the midpoint of the new ranges, the downgrades to revenue were 6% (to €133–143m from €141–150m previously) and adjusted EBITDA by 36% (to €3.3–4.3m from €5–6.9m previously). Management believes that the order volume, which is affected by the current logistical challenges, will return to the levels before migration by the end of September 2021 at the latest, ahead of the seasonally important Q4 trading period.
Valuation: FY21 premium to peers
Using consensus estimates, fashionette’s FY21e EV/EBITDA multiple of 30.5x is in line with the average multiple of online fashion peers (29.8x) with a wide range of multiples, and the FY22e multiple of 10.6x is at a discount to the same peers (24.1x).
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Consensus estimates
Source: Refinitiv, **Edison Investment Research |
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Edison Investment Research provides qualitative research coverage on companies in the Deutsche Börse Scale segment in accordance with section 36 subsection 3 of the General Terms and Conditions of Deutsche Börse AG for the Regulated Unofficial Market (Freiverkehr) on Frankfurter Wertpapierbörse (as of 1 March 2017). Two to three research reports will be produced per year. Research reports do not contain Edison analyst financial forecasts.
Research: TMT
Applied Graphene Materials (AGM) specialises in providing graphene in the form of dispersions of nanoplatelets that can be readily incorporated by customers into their products. It is initially concentrating on the global protective coatings and composite materials markets where the financial benefits of the performance enhancements achievable from incorporating graphene may be calculated, encouraging adoption.