SHEIN experiences rocky revenue growth amid IPO plans

Chinese fast fashion retail brand SHEIN recorded a drop in its revenue growth to 23 per cent in the first half of the year compared to 40 per cent last year, according to reports. The revelation comes ahead of its highly anticipated London IPO listing.

The platform has a 70 per cent decline in its profits with revenue lower than US $ 400 million in the first half of this year, the report added. The firm had initially witnessed a rapid growth due to its low-cost business model of selling US $ 5 tops and US $ 10 dresses globally to online buyers via their parcels from factories in China.

In last year’s fundraising round, SHEIN was valued at US $ 66 billion and it also held an informal meeting this month regarding the upcoming London IPO, Reuters reported. Reuters stated that SHEIN does not publically report its global results.

SHEIN currently faces strong competition from another Chinese shopping platform Temu which has gained massive popularity in the US markets as per reports.