“Our first quarter results represent the first step towards achieving our plan for 2023, our Year of Execution, and demonstrate our strong execution in the face of continued macro headwinds. Our sequential improvement in GMV growth in the US and China, our two largest markets, as well as in orders across the Farfetch Marketplace, indicate the strength and resilience of our core business. This, on top of our recent launches of Ferragamo and Reebok, with Neiman Marcus Group on track for the second half of the year, and the progress we are making on our profitability and cash flow initiatives, confirm we remain on track to deliver on our plan for 2023”, commented José Neves, Farfetch Founder, Chairman and CEO of Farfetch.

First Quarter Results

In the quarter that ended on the 31^st of March, Farfetch's Gross Merchandise Value (GMV) was up by 0.1%, as compared to the same period of last year, totalling 931.7 million US dollars.

The company's Digital Platform GMV decreased by 12% year-over-year in this period, amounting to 809.5 million US dollars, due to “continuing headwinds from the suspension of trade in Russia, where trade ceased in March 2022, and mainland China, where demand has not yet fully recovered following the relaxation of regional COVID-19 restrictions”.

Meanwhile, in this year's first quarter, Farfetch's Brand Platform GMV reached 109.7 million US dollars, up by 15.4%, and its In-Store GMV totalled 22.3 million US dollars, up by 3.8%, on a comparable basis to the same period of the prior year.

In the first quarter of the current fiscal year, the online retailer's revenue increased by 8.1% over a similar period in 2022, amounting to 556.4 million US dollars. This result reflects a 6.5% growth year-over-year in the Digital Platform revenue to 421.5 million US dollars, a 13.9% rise year-over-year in the Brand Platform revenue to 114.5 million US dollars, as well as a 9.6% increase year-over-year in In-Store revenue to 20.5 million US dollars.

Farfetch's adjusted EBITDA grew by 1.0 million US dollars to a loss of 34.7 million US dollars in the first three months of 2023, up by 2.0% from the same period of the prior year, while the EBITDA margin improved by 90 basis points to minus 7.3%.

Furthermore, in the first quarter of the year, the company recorded a net profit loss of 174.3 million US dollars, as compared to a 728.8 million US dollars net profit in the same quarter of 2022.