German online fashion retailer Zalando on Tuesday announced a loss before taxes of €12.3 million ($13.35 million) for the first quarter of the year.
This loss was narrower than the €51.7 million loss in the same quarter last year.
The company attributes this improvement to higher interest income and lower fulfilment costs. Interest and similar income for the quarter rose to €18 million from €5.9 million, while fulfilment costs decreased to €550.5 million from €594.7 million in the prior-year quarter.
Zalando reported earnings before interest and taxes (EBIT) of €0.7 million compared to a loss of €26.2 million a year ago.
Excluding one-time items, adjusted EBIT increased to €28.3 million from a loss of €0.7 million.
The net loss reduced to €8.9 million, or €0.03 per share, from €38.5 million, or €0.15 per share, last year.
Revenue for the quarter declined slightly to €2.241 billion from €2.256 billion in the previous year.
The Gross Merchandise Volume (GMV) increased by 1.3% year on year to €3.270 billion.
As of March 31, the number of active customers was 49.5 million, down from 51.2 million in the previous year.
Looking ahead, Zalando confirmed its full-year guidance and expects both GMV and revenue to grow between 0% and 5%. Adjusted EBIT for the year is projected to be between €380 million and €450 million.