Farfetch revenues hit $2.3bn

Farfetch Limited, the global platform for the luxury fashion industry, has reported its revenues increased 35% year-on-year to $2.3bn (£1.71bn) for the full-year ended December 31 2021 (FY21).

In the fourth quarter (Q4) revenues also increased 23% year-on-year to $666m (£497.66m) and profit-after-tax hit $97m (£72.48m) in Q4, including $217m (£162.15m) non-cash benefit arising from impact of lower share price on items held at fair value and remeasurements.

Additionally, Farfetch reported adjusted EBITDA of $36m (£26.9m) for the full-year, with gross profit margin of 47.1% for Q4 FY21.

The company also hailed “record” gross merchandise value (GMV) of $4.2bn (£3.13bn) for the full year, up 33% year-over-year and up 98% compared to pre-Covid levels.

GMV and digital platform GMV also rose 22% year-over-year in Q4 to $1.3bn (£9.71m) and $1.1bn (£8.21m), respectively.

José Neves, Farfetch founder, chairman and CEO, said: “We exit the year having once again delivered market share capturing GMV growth in 2021 along with our first year of adjusted EBITDA profitability. This positions Farfetch for an incredible 2022 focused on continuing to lead the online luxury fashion industry.

“We are positioned to emerge stronger than ever, as an industry leader delivering strategic value to brand partners and an unmatched proposition for consumers. And the accelerated digitisation of the luxury industry highlights the opportunity to leverage the unique capabilities of the Farfetch platform.”

Elliot Jordan, Farfetch CFO, added: “This completes a milestone year for Farfetch in which we added over $1bn in GMV, growing 33% year-over-year, and achieved our first full-year of profitability at the Adjusted EBITDA level.

“Our investments continue to deliver significant operating cost leverage and we are well positioned for further market share capture and profitability gains in the year ahead.”