Synopsis In February, ​Zalando said it was cutting hundreds of jobs across its workforce of 17,000, saying it had expanded too much and citing a difficult economic environment since the coronavirus pandemic. ETtech For 2023, Zalando expects adjusted EBIT of between €280 million and 350 million euros, with revenue between a 1% decline and 4% gain (Illustration: Rahul Awasthi) Zalando , Europe's biggest online fashion retailer, will focus on improving profitability this year after a profit slump and stagnating sales last year. The company's adjusted group earnings before interest and tax (EBIT) plunged by 60. 1% last year to €184. 6 million ($197. 3 million) on revenue down 0. 1%, it said on Tuesday, in line with guidance updated in November. The EBIT margin was 1. 8%, compared with 4. 5% in 2021, but the company's profitability push - including jobs cuts announced last month - is expected to help it to the top end of its 3-6%margin target by 2025 and double-digit margins in the long term, said co-CEO Robert Gentz. For 2023, Zalando expects adjusted EBIT of between €280 million and 350 million euros, with revenue between a 1% decline and 4% gain. Gross merchandise value (GMV) grew by 3% last year, to 14. 8 billion euros, and Zalando now expects GMV growth of 1-7% this year. Layoffs Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories In February,Zalando said it was cutting hundreds of jobs across its workforce of 17,000 , saying it had expanded too much and citing a difficult economic environment since the coronavirus pandemic. "We have decided to start a program that will remove several hundred overhead roles across many of our teams," it said in a statement. "Over the last few years, some parts of our company have expanded too much and we have added a degree of complexity to our organization that impacted our ability to act fast. " The planned job cuts were first reported in the Financial Times, which said the online retailer's workforce would shrink by up to 5%. In Tuesday's statement, Zalando said that while the pandemic had boosted business in 2020 and 2021, "the pandemic tailwinds have faded since 2022 and the macroeconomic environment has become more challenging". Don’t miss out on ET Prime stories! Get your daily dose of business updates on WhatsApp. click here! Tuesday, 07 Mar, 2023 Experience Your Economic Times Newspaper, The Digital Way! Read Complete Print Edition » Front Page Pure Politics Companies ET Markets More India may Pull Plug on FAME II After Next Fiscal India is likely to discontinue the second phase of the ₹10,000 crore Faster Adoption and Manufacturing of Electric Vehicles in India or FAME II scheme after the next financial year, government officials familiar with deliberations said. Foxconn Reassures K’taka, Telangana on Investments Hon Hai Precision Industry, better known as Foxconn, has assured the governments of Karnataka and Telangana that it will work with them to further the expansion of its electronic manufacturing base in the country. Platform to Update DigiLocker Docs Via Aadhaar in Works The government is developing a platform to help citizens who store their documents in DigiLocker to auto-update their address and other demographic details across departments through Aadhaar, officials told ET. Read More News on Zalando Profits zalando zalando 2022 slump zalando ebit zalando gross merchandise value zalando gmv zalando layoffs layoffs Zalando job cuts zalando profitability Stay on top of technology and startup news that matters. Subscribe to our daily newsletter for the latest and must-read tech news, delivered straight to your inbox. . . . more less ETPrime stories of the day Ed-tech Key calls Unacademy has to make: focus on verticals or services; and unlocking value in acquisitions 8 mins read Strategy Starting up to growing up: Brand building in the pressure-cooker era of funding timelines 8 mins read Under the lens Axis MF front-running case: Sebi exposes ‘Jadugar’ but it must bring in systems to nab more Houdinis 12 mins read Subscribe to ETPrime.