Shein posted a significant 40 per cent drop in net profit in 2024, totalling $1 billion (€950 million), reports the Financial Times based on internal sources. This result is not only much lower than in 2023, but also far below the forecast profit of $4.8 billion (€4.5 billion).
Home products for sale on Shein.
While revenue rose 19 per cent to 36.2 billion euros, it also fell short of expectations, which anticipated nearly 43 billion euros. This disappointing financial performance raises doubts about Shein's planned IPO. The company will possibly lower its market capitalisation from the previously hoped for $50 billion to around $30 billion.
Moreover, the 2025 figures are still affected by import duties announced by the United States and Europe, which could undermine both sales and profits. Although the IPO normally takes four to six weeks, Shein has been in the process since April 2024 and the company is now not expected to make its London IPO until autumn 2025.
Source: RetailTrends
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