Sosandar posts revenue and profit growth

Net revenue of 20.9 million pounds at Sosandar, rose 72 percent in the first six month period of FY23, while PBT was 0.1 million pounds compared to a loss of 1.08 million pounds in the first half of FY22.

The company’s board believes that consensus market expectations for the year ending March 31, 2023 are revenues of 42.8 million pounds, EBITDA of 2.2 million pounds and PBT of 2 million pounds.

Commenting on the first half trading update, Ali Hall and Julie Lavington, the company’s Co-CEOs said: "The momentum has continued into the early weeks of the second half, with strong trading in October to date and tracking in line with our expectations. The challenging and volatile macroeconomic conditions currently make the short-term future difficult to predict with any certainty and their true impact on the consumer is not yet known, however, we remain confident in our long-term strategy."

The company said in a statement that number of orders increased on Sosandar.com by 43 percent to 347,137 during the period under review, average order frequency was up 8 percent to 2.41 times, website visits rose 25 percent to over 7.7 million and active customers were up 33 percent to 254,601.

The company added that gross margin of 54.4 percent compared to 56.5 percent last year, reflected a more normal post Covid trading period with a planned end of season sale in August.

Following its successes with third party partnerships to date, Sosandar has entered into a new partnership with N Brown Group Plc's JD Williams on a wholesale agreement basis which commenced in September 2022.

The company further said that the partnership has got off to a promising start and together with M&S, Next, John Lewis and the Very Group, there are significant opportunities for further growth.