Global Fashion Group (GFG) Q4 2025 earnings summary

Executive summary

• Achieved positive Adjusted EBITDA for all regions and the group in 2025, marking a significant turnaround after a challenging post-COVID environment and the sale of the CIS business; operations now exclude CIS, Argentina, and Chile.

• Maintained a leading position in fashion & lifestyle markets across ANZ, LATAM, and SEA, with a customer-centric approach and strong brand relationships.

• Focused on profitable growth, cost efficiency, and customer-centric strategies, supported by a healthy balance sheet and substantial net cash position.

• Reset actions included inventory reduction, assortment rationalization, and prioritizing high-value customers, resulting in improved gross profit per active customer and lower costs.

• FY 2025 revenue declined 5.9% year-over-year to €679.8m, with a net loss of €62.2m, an improvement from €85.1m loss in FY 2024.

Financial highlights

• Group NMV exceeded €1 billion in 2025, with Q4 contributing about a third; NMV and revenue were broadly stable in constant currency but impacted by FX headwinds.

• Adjusted EBITDA improved by €62m from 2023 to 2025, reaching €9.3m in 2025, turning group full-year positive for the first time within the current footprint.

• Gross margin rose to 46.4% in 2025, up 1.5ppt year-over-year, driven by inventory reduction and increased marketplace/platform services share.

• Normalised Free Cash Flow improved by €31m since 2023, with a Q4 inflow of €46m and H2 2025 NFCF at €30.3m.

• Closed 2025 with €185m in pro forma cash and €143m in pro forma net cash.

Outlook and guidance

• FY 2026 NMV guidance: €990–1,070m (down 4% year-over-year at midpoint), Adjusted EBITDA of €15–25m.

• CapEx and leases to remain broadly stable; working capital inflow expected to be slightly higher than 2025 due to timing effects.

• Strategy focuses on business model evolution, customer flywheel, and cost efficiency.

• Management expects continued stabilization in revenue and profitability metrics.