Kogan profits up 50 per cent in 11 months
5 June 2020, Written by Matt Ogg
Online jack-of-all-trades Kogan.com (ASX: KGN) saw accelerated sales growth in May as the macro-trend of e-commerce gained further momentum, lifting its active customers above the two million mark.
In a business update today, Kogan notes adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) are up 200 per cent in the fourth quarter to date.
Meanwhile, adjusted EBITDA in the financial year through to the end of May was up by more than 50 per cent.
If the monthly profit level of $7 million recorded in May were annualised, Kogan would be raking in around $84 million. This compares to EBITDA of $30.1 million in FY19.
The company founded by Ruslan Kogan (pictured) notched a 6 per cent in active customer numbers to 2.07 million, and gross profit is currently up 130 per cent in the quarter to date.
The group recently purchased iconic Australian furniture retailer Matt Blatt, taking the store's entire offering online, and has benefited in particular from the Kogan Marketplace which incorporates the lucrative market for third-party sellers.
Business News Australia
Author: Matt Ogg