Asos

Ticker ASC

Today's data summary

Market closed
% change
+1.95%
Price Pence
3500.00
Change
+67.00
As of 10:46 26 May 2019
Market cap. Pound sterling
2,935.53 million
As of 10:46 26 May 2019

Latest updates

Asos threatens to block serial returners

A woman and man modelling Asos clothing
Asos

Online fashion giant Asos has changed its returns policy.

It is lengthening the time allowed for returns of unwanted items, but is threatening to investigate and "take action" if it notices anything unusual.

It says if it suspects someone is actually wearing and returning goods or ordering and returning "loads", it might deactivate the account.

Late last year, the company, the biggest online retailer in the UK, warned profits growth was slowing.

Asos needs 'deep price cuts'

Asos’ trading statement this morning revealed sales growth in six months to March climbed 11%, reflecting the worse trading flagged in its December profit warning. Ed Monk associate director from Fidelity Personal Investing’s share dealing service, commented:

Six months ago ASOS seemed to be defying gravity in the retail sector with ever-rising sales despite the gloom on the high street, but the December warning brought it back to earth with a bump. ASOS was outflanked by heavy, sector-wide discounting over Black Friday sales in November and has to make up ground with deep price cuts of its own, hitting profits.

'Limitless demand' for Asos

Today Programme

BBC Radio 4

model and asos sign
ASOS

Asos, the online retailer, announcing a trading update earlier.

Bryan Roberts, global insights director at consultancy TCC Global, told BBC Radio 4's Today Programme there had been disappointing demand for its clothes in France and Germany and too much demand in the US.

"Asos is quite a tricky one. There is almost limitless demand for what they do around the world. They have barely scratched the surface. There are some big concerns about the viability of some aspects of their models such as the huge return rate [of goods]," he said.