Moonpig posts growth in half year sales and profit
Moonpig, the online greeting card and gifting retailer, has posted an uplift in sales and profit in the six months to 31 October.
While revenue climbed by 6.5% to £152.1 million, adjusted pre-tax profit rose to £20.8 million from £18.9 million in the prior year.
The group said the performance was underpinned by the Moonpig brand where revenue increased by 4.9% following its focus on technology. However, revenue at Greetz in the Netherlands declined by 9.8% due to the economic downturn in the country.
Meanwhile, the group’s adjusted EBITDA grew to £41.4 million from a previous £34.6 million following an improved gross margin rate and disciplined cost control.
Nickyl Raithatha, chief executive of Moonpig, said: “We are pleased to report year-on-year growth in both revenue and profit despite the challenging macro-economic environment, marking the group’s return to revenue growth.
“Our focus on technology is driving this growth, underpinned by our resilient, profitable and cash generative business model, leveraging our unique use of data to drive customer loyalty.”
Moonpig said current trading remains in line with expectations which means its forecasts for full year consolidated revenue and adjusted EBITDA remain unchanged.
Raithatha said: “We continue to innovate to attract and retain our loyal customers. During the period nearly four million customers used our innovative card creativity features such as audio and video messages, AI-generated text suggestions, stickers, flexible photos and digital gifting solutions.
“As the clear online leader in greetings cards, we remain well positioned to benefit from the long-term structural market shift to online.”