New CEO, José Antonio Ramos Calamonte, is now carrying out an overhaul of the retailers’ operations in an effort to improve its fortunes.
With its shares down 80 per cent this year, Asos said Mr Calamonte needed to address international operations including in the US, cut costs, improve its supply chain,Mr Calamonte said: “It’s clear we need to drive real change at Asos now. While our core UK business remains strong, we have failed to replicate that success in other markets. I have set out a clear change agenda to strengthen Asos over the next 12 months and reorient our business towards the future.
To add to its woes, the company is also embroiled in an investigation by the Competition and Markets Authority into potentialRuss Mould, investment director at AJ Bell, said: “Asos’s predicament is only adding to longer-term concerns about and whether, in an age when the focus is on sustainability and where sourcing cheap materials and labour is a much bigger challenge, it has as solid a future as previously thought.”to cover the costs of customers sending back clothing without buying.