Boohoo maintains guidance and says will buy back shares

Boohoo.com, the British online fashion retailer, maintained guidance, reduced after a January profit warning, and said it would seek to buy back up to 10 percent of its equity.

The firm, which listed last March but saw its shares hammered by the January profit alert, said on Wednesday core earnings margins for the 2014-15 year were expected to be in line with previous guidance of about 10 percent.

Boohoo.com designs, sources, markets and sells own-brand clothing, shoes and accessories through its website to a core market of 16-24 year-old consumers in Britain and globally.

It said revenue rose 24 percent on a constant currency basis to 21.9 million pounds ($33 million) in the two months to Feb. 28, taking revenue for the full year to 139.9 million pounds, a rise of 31 percent.

Gross margin was 58 percent for the two months and 61 percent for the year.

"We remain absolutely focussed on execution and are increasing our marketing spend in 2015-16 to drive momentum in the business," said joint chief executives Mahmud Kamani and Carol Kane.

With the company ending the year with 54 million pounds of cash the board will seek authorisation to buy back up to 10 percent of issued share capital at its annual shareholders meeting.

Shares in Boohoo, which floated at 50 pence, closed Tuesday at 25.25 pence, valuing the business at 285 million pounds.

£1 = $1.50