Zalando had revised its outlook for the second quarter of 2022.

The Berlin-based online retailer cited deteriorating macroeconomic conditions as the reason for its lower end of full year guidance in contrast to its initial assessment in early May.

The EU consumer confidence index decreased further in June, and the company’s management stated that macroeconomic challenges appeared to be longer lasting and more intense than previously anticipated.

Zalando said in an announcement: “For the second quarter 2022, management expects Gross Merchandise Volume (GMV) growth, revenue growth and adjusted EBIT to be significantly below analyst estimates.”

It added: “The second quarter is profitable but weaker than expected.”

Zalando adjusted its Gross Merchandise Volume (GMV) growth from 5 per cent to between 3 and 7 per cent. Revenue is now expected to grow between 0 and 3 per cent instead of 1.5 per cent as initially anticipated.

Robert Gentz, co-chief-executive of Zalando, commented: “While this new environment is creating a negative impact on our financial performance, our strategy and long term goals are unchanged.

“Our vision remains to be the starting point for fashion in Europe. There are many untapped opportunities in the fashion market that we can capture and are committed to change the industry for the better.

“By driving efficiencies across the company and selectively investing through-cycle, we will be even better positioned long-term to execute against our strategy. We are embracing the challenges and adapting to emerge stronger."

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