Zalando SE

Q3 performance: growth rebounded + profitability improved (guidance confirmed) - Reported GMV +7.5% YoY and group revenue +5.1% YoY (pro forma: GMV +6.1%, revenue +3.3%), reflecting improving momentum. - Adjusted EBIT: EUR 107m (+11% YoY); margin 3.4% (+0.2pp YoY). - Full-year 2026 guidance reiterated (updated from August): reported GMV & revenue growth in low end of 12%–17% range; adjusted EBIT EUR 680m–720m; CapEx EUR 240m–300m; negative net working capital expected.

Key driver of top-line: partner business + Retail Media; retail margin pressure “transitionary” - Q3 improvement mainly from partner growth (reported GMV lagged profitability briefly because revenue recognition differs: GMV includes partner goods value; revenue is commission). - Partner share rose +2.9pp to 33.6%; management sees progress toward 2028 midterm partner target 40%–50%. - Retail Media growth strong: ~18% YoY; reached ~2% of B2C GMV in Q3. - B2C GMV +6.1% pro forma, but B2C profitability down: gross margin 41% (-0.7pp YoY) and B2C adjusted EBIT EUR 64.4m (margin 2.3% vs 2.8%). CFO called this driven by targeted customer offers (esp. sneakers) + higher marketing spend due to earlier autumn/winter campaign and World Cup activations—expected to improve in Q4 and be broadly flat full-year at gross margin level.

B2B is strong and becoming a bigger profit engine - B2B revenue EUR 354m (+27.2% YoY pro forma); adjusted EBIT EUR 42m (more than doubled), margin 11.9% (up from 7.1%). - Margin uplift attributed to scale/efficiencies in fulfillment (ZEOS Fulfilment solutions), parcel sharing economics from fast-growing partner volumes, and scaling software revenue streams (SCAYLE, Tradebyte). - Management expects B2B margin to normalize/settle around ~9%–10% going forward and carry momentum into 2027.