BERLIN – Online fashion retailing giant Zalando saw a double-digit revenue increase in 2025, though much of it had to do with the company’s purchase of another German online store, About You.
In the fourth quarter of last year, Zalando revenues rose 23 percent to 4.07 billion euros. That led to a 16.8 percent increase over the full year to 12.35 billion euros.
This was broadly in line with the 12.3 billion euros market analysts had expected.
Zalando acquired About You in the third quarter. Prior to that, its revenues had been increasing around 7.6 percent on average every quarter in 2025.
“We accelerated our strategy and rolled out major innovations across B2C and B2B to deliver a strong performance in 2025,” Zalando co-chief executive officer Robert Gentz said in a statement.
The company’s gross merchandise value, or GMV, rose 14.7 percent to 17.6 billion euros last year. GMV measures how much inventory the platform has moved and is usually higher than company revenue.
Zalando counted 62 million active customers for its various offerings, online and via apps. The purchase of About You contributed a significant amount to that number — around the middle of last year, Zalando had 52.9 million active customers.
Zalando’s customers are also spending more. In 2025, they spent an average of 62.80 euros every time they bought from the company, up from 61 euros per basket in 2024.
In 2024, Zalando launched what it calls its “ecosystem strategy,” splitting the business into consumer sales via the existing homepage and app, and business-to-business, or B2B, activities. B2B allows retailers to sell via Zalando and to utilize the group’s marketing, data and logistics services, among other things.
The majority of the company’s revenues — 11.28 billion euros in 2025 — still comes from selling directly to consumers. But the B2B side of the business also grew, rising 14.6 percent to cross the threshold of 1 billion euros for the first time, with revenues of 1.09 billion euros.
As part of this, the German online giant has been selling on its specially developed software and announced that one of its offerings, Scayle, would become the global commerce platform for international denim brand, Levi’s, across the U.S., Canada and Europe.
Zalando’s EBIT, or earnings before interest and taxes and an important indicator of profitability, has also grown. In the past, Zalando has been able to generate revenue but due to the expensive demands of online retailing, found it difficult to make a profit.
During 2025, Zalando’s EBIT rose 15.6 percent to 591 million euros. Although EBIT rose, the company’s profit margin — that is, how much profit it actually made compared to sales — remained stable at 4.8 percent. Although Zalando’s profit margin has been rising steadily over the past few years, it was also at 4.8 percent in 2024.
Zalando forecast that it expected further growth over the coming year, with revenue and GMV increasing somewhere between 12 and 17 percent. In 2026, Zalando also expects adjusted EBIT to come in somewhere between 660 and 740 million euros.
The company said it was also on track to achieve mid-term goals, and said that by 2028, it expected between 13 and 18 percent growth in revenue and for its EBIT margin to rise to between 6 and 8 percent.
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