Comment: Asos has bounced back before and it will rise once again

“When your back’s to the wall, entrepreneurial spirit kicks in”.

That was Asos founder Nick Robertson speaking to Retail Week earlier this year.

He was talking about coming back after the devastating Buncefield explosion in 2005 but the words will apply following last week’s shock profit warning from the etailer.

The bad news wiped as much as 40% of Asos’s share price on the day, but nobody should doubt Robertson’s determination to put the business back on track.

Much of the problem was down to foreign exchange effects as the strength of the pound was reflected in prices being asked of consumers overseas. Action is being taken to address that issue through more localised pricing.

The fact that Asos managed to generate quarterly UK sales growth of 43% and double-digit advances internationally shows that, which profits must be protected, the wheels have not fallen off the business.