UPDATE – Shares in Kogan.com have rebounded since diving in early trade, up 2.16% to $4.48 after midday – amongst its highest levels this week.
Local e-commerce behemoth, Kogan.com, has seen shares slump 5% in early trade after reporting an 8.6% fall in first-half net profit [after tax] to $7.4 million. It comes after expansion costs eroded record Christmas trade.
For the six months to December 31, revenue lift 10.6% to $231.8 million.
The e-tailers’ active customer base also jumped 32.2% to 1.54 million.
EBITDA for the period notched $13.3 million – down 5.7% versus 1HFY18.
Growth was offset by costs associated with marketing, staff and warehousing investments.
[Kogan.com]
“We now have a nationwide logistics network, enabling us to delight customers all over Australia with faster and more cost efficient delivery options,” remarks Kogan.com Co-Founder and CEO, Ruslan Kogan.
“The Kogan retail business currently represents around 2% of the Australian eCommerce market – continuing to invest in our brand, and spreading our message, is an important part of our strategy to capture market share.”
The news comes as Kogan pursues its expansion into credit cards and superannuation, following a partnership with Mercer and Citi.
Following its New Zealand mobile offering in partnership with Vodafone, Kogan.com will be operating in 11 verticals inclusive of its e-commerce site.
Concerning future outlook, Kogan.com claims 2HFY19 has “started well” with January 2019 unaudited accounts reflecting 13.1% YoY revenue growth, 19.9% gross profit growth and 7.3% lift in operating costs.
The Board has advised it will not be providing an EBITDA guidance for FY19.
