Sosandar turnover accelerates 136 percent

Online women’s fashion brand Sosandar PLC, for the three months ended 31 December 2019, said that the company witnessed strong trading performance in autumn continuing into winter with net revenues in each month exceeding 1.2 million pounds (1.5 million dollars). The company added revenue for the period was above management’s expectations at 3.8 million pounds (4.9 million dollars), a 136 percent increase on the same period in 2018 and exceeded the 2.8 million pounds revenue generated for the entire first half of the financial year.

Commenting on the update, Ali Hall and Julie Lavington, the company’s Joint CEOs, said in a statement: “We are delighted to be reporting on an exceptional period of growth with sustained momentum across the key trading months to December 31. Acquisition of customers is nothing without successful retention and that’s why it is so pleasing to see that repeat customers in January, a traditionally difficult trading period, are tracking higher than in the peak autumn/winter period helping to continually improve the ever-growing lifetime revenue number.”

Sosandar witnesses strong revenue growth over last three months

Sosandar said that the revenue growth was driven through product range expansion and increased TV investment after the successful September trial. Following the increased investment in customer acquisition, the company also saw a substantial growth in its active customer database which now stands at over 110,000, an increase of 93 percent on the same period in the prior year, and 47 percent up on September 31, 2019. Repeat orders in the quarter increased 140 percent on the same period in 2018 to 51,320.

For the three months, Sosandar’s customer database increased 109 percent to 207,672, average order value at 101.97 pounds, an increase on H1, reflecting cold weather driving sales of higher price point and number of orders increased 140 percent to 84,304. Gross margin for the quarter was 52 percent.

The company saw steady progress in performance month-on-month, with October revenues up 108 percent, November up 138 percent and December up 153 percent year on year. The company further said that this momentum has continued post-period, with January tracking up over 160 percent. Given the strong current trading, the company said, full year revenue is on track to exceed current market expectations and it is confident in delivering further growth in future years due to the escalated customer acquisition between September and December. Given the upfront cost of acquiring new customers, the company expects this to result in the net loss for the full year being higher than previously anticipated.

Picture:Sosandar website