Sosandar posts surge in revenue and profit

Sosandar Plc has announced that the revenues increased by 228 percent to 4.44 million pounds (5.58 million dollars) for the year to March 31, 2019, driven by a variety of factors including the continued success of customer acquisition activities across multiple channels, increased average order values and a surge in repeat orders. Gross profit increased 268 percent to 2.44 million pounds (3.07 million dollars), while EBITDA loss reduced to 3.49 million pounds (4.39 million dollars).

Commenting on the annual results, Ali Hall and Julie Lavington, the company’s Co-CEOs, said in a statement: “We are delighted to be reporting a year of exceptional growth along with significant operational progress. The new financial year has started strongly and in line with our expectations with June setting a new record for the number of units sold in a month. Repeat orders for Q1 increased 122 percent year on year and Q1 has seen 23 percent year on year revenue growth. With a clear growth plan, we are confident in the outlook for the year and very excited about Sosandar’s long term prospects.”

Highlights of Sosandar’s full year results

The company said, the increasing brand awareness and marketing activity helped generate more visitors to the website as represented by session growth of 140 percent and these visitors also bought increasing amount of product with conversion rate up 76 basis points to 2.92 percent and average order value up 10 percent to 103 pounds (129 dollars).

Sosandar added that gross margin for the year also increased to 55 percent driven by economies of scale achieved through increased order quantities and higher proportion of sales from product sold at full price, successfully utilising the outlet pages to sell older or less seasonally relevant stock without impacting margin. During the year, site visits increased by 140 percent year on year, and customer database increased by 95 percent to over 105,000. The company saw growth across both new and repeat orders, with new customers increasing by 131 percent and repeat customers by 391 percent.

Picture:Sosandar website