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Online fashion retailer Asos said it would target £7 billion of sales during the next three to four years amid plans to ramp up double the growth of its US and EU business and build on its UK growth.
The £7 billion in sales equate to a 15%-to-20% compound annual growth rate, and an earnings before interest and tax margin of at least 4%, underpinned by operational initiatives of £50 million to £100 million.
'Key elements supporting this plan include adding over £1bn of revenue from own brands; the rollout and expansion of Partner Fulfils to represent 5% of GMV, and continued growth in the market-leading UK business whilst doubling the size of ASOS in the US and EU,' the company said.
Looking further ahead, ASOS said it was 'confident' that strong sales growth could be sustained over the long term and margins could be 'significantly' enhanced in all territories.
'The combination of ongoing improvements in cost efficiency across the group, scale efficiencies in the international businesses, and an increased contribution from Partner Fulfils - the margin for which is anticipated to be in the region of 15-20% - should support an EBIT margin of at least 8% over the long term.'