TIDMMYSL
RNS Number : 6976U
MySale Group PLC
20 January 2017
MYSALE GROUP PLC
Pre-close Trading Update
MySale Group plc (AIM: MYSL) (the "group") the leading online
retailer, is pleased to provide a trading update for the six months
to 31 December 2016 ahead of the publication of the group's Interim
Report on 1 March 2017.
Highlights
-- A strong first half with underlying(1) EBITDA up 100% to
c.A$3.0 million (H1 FY16: A$1.5 million)
-- Maintaining recently upgraded full year guidance
-- Online(2) revenue increased 18% to A$126.5 million (H1 FY16: A$107.0 million)
-- Active customer base increased 19% to 870,000 (H1 FY16: 731,000)
-- Total gross profit increased 17% to A$38.4 million (H1 FY16: A$32.7 million)
-- Strong balance sheet with net cash balance increased to
A$29.1 million from A$27.5 million at end of June 2016 and A$23.4
million at 31 December 2015
-- Partnership with gilt.com launched
The group has made excellent progress in the first half of the
current financial year. Continued focus on customer conversion and
engagement meant that the active customer base increased 19% and in
turn online revenue, which represents over 90% of the group total,
has experienced a strong growth rate, of 18%, to A$126.5 million
(H1 FY16: A$107.0 million).
Group revenue has risen 6% to A$136.1 million (H1 FY16: A$128.2
million) which reflects the strong online growth referred to above,
combined with a planned reduction in lower margin offline revenue.
This is evidenced by the continued strong progress in gross margins
where a 270bp improvement drove a 17% uplift in gross profit to
A$38.4 million (H1 FY16: A$32.7 million).
This strong trading performance combined with a carefully
controlled cost base will result in underlying EBITDA double the
prior year at circa A$3.0 million (H1 FY16: A$1.5 million) for the
half year which is ahead of the group's expectations.
Having updated the market at the end of November 2016 with
increased guidance, at this stage, the Board anticipates a full
year outturn in line with analysts' projections and looks forward
with confidence to the second half of the year. A further update on
trading will be provided with interim results.
The group has maintained its strong balance sheet during the
period. Net cash balances increased to A$29.1 million (H1 FY16:
A$23.4 million) in this half, from A$27.5 million at the end of the
previous year.
The group is pleased to confirm it has launched a strategic
partnership with US online retailer gilt.com, part of the Hudson's
Bay Company, which represents another important step in the
development of the group's retail marketplace platform. It's
anticipated this collaboration will add significant product
selection, in multiple categories, to this platform.
(1) Underlying EBITDA: earnings before interest, taxation,
depreciation and amortisation and before non-recurring and certain
non-cash items
(2) Online: the group's online web-based retail activities
Carl Jackson, Chief Executive Officer commented;
"We are pleased with the strong start we have made to the year.
Financially we have performed well and strategically have made good
progress against our goals.
"In ANZ we have continued to shift the emphasis of our marketing
towards retention and re-engagement and have also seen good
progress in the scaling of our retail marketplace platform.
"We carry good momentum into the, historically stronger, second
half of the year and have a number of exciting initiatives which
will support our future growth. "
Enquiries:
MySale Group plc
Carl Jackson, Chief Executive +61 (0) 414 817
Officer 843
Graeme Burns, Corporate Development +44 (0) 777 585
Director 4516
Zeus Capital Limited (Nominated +44 (0) 20 3829
Adviser & Joint Broker) 5000
Nick How/Giles Balleny, Corporate
Finance
Benjamin Robertson, Corporate
Broking
+44 (0) 20 7496
N+1 Singer (Joint Broker) 3000
Nic Hellyer
+44 (0) 20 7379
Maitland 5151
Dan Yea
About MySale Group
MySale is a leading international online retailer with
established online flash sales and retail websites in Australia,
New Zealand, South-East Asia and the United Kingdom. Founded in
2007, the Group provides customers with access to outstanding
brands and products at discounted prices whilst simultaneously
providing brand partners unique international inventory and sales
solutions.
The Group's flash sales websites host time limited sales in each
of its territories. These flash sales are focused on fashion,
apparel, health, beauty and homeware categories and are
predominantly undertaken on a consignment inventory basis. The
retail websites operate in Australia and focus on similar product
categories using mostly drop-shipped inventory.
Customers' shopping experiences are enhanced by the Group's
deployment of leading edge technology to ensure personalised and
localised product offerings. Customer convenience has been at the
heart of the Group's technology development since the earliest days
and now mobile commerce is the Group's main sales channel.
The Group's online sales are supported by a robust and flexible
network of in-house supply chain infrastructure and technology that
enables MySale to offer products from around the world for sale and
delivery to customers in each territory.
As a result of these exceptional capabilities in inventory
management and international sales MySale has built an enviable
portfolio of over 2,500 brand partners from whom products are
sourced.
The Group operates websites under a number of different brands
all of which operate on a uniform technology platform and a single
international logistics infrastructure.
The Group's flash sales brands are; OzSale and BuyInvite in
Australia; NzSale in New Zealand; SingSale in Singapore; MySale in
Australia, New Zealand Malaysia, Thailand, the Philippines, the
United Kingdom and Hong Kong, and Cocosa in the United Kingdom,
Australia and New Zealand; whilst the Group's retail websites are
Deals Direct, OO.com and Top Buy in Australia.
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTBMMFTMBATMMR
(END) Dow Jones Newswires
January 20, 2017 02:00 ET (07:00 GMT)
Mysale (LSE:MYSL)
Historical Stock Chart
From Apr 2024 to May 2024
Mysale (LSE:MYSL)
Historical Stock Chart
From May 2023 to May 2024