There was a sharp bounce in the share price of online fashion retailer ASOS (LON:ASC) after its full year results, probably more an indication of relief that there was no more bad news rather than a positive reaction to prospects.

In the year to August 2019, revenues improved 13% to £2.7bn and the decline in pre-tax profit from £102m to £33.1m was within the expected range and better than some expectations. The gross margin fell from 51.2% to 48.8%. Operating margin fell from 4.2% to 1.3%. Warehouse transition costs increased from £25m to £45m.

The rise in the revenues shows that there i...