Kogan’s Profits More Than Double, Hits 2M Active Customers
Kogan.com has revealed that its gross profits grew by over 115% year-on-year (y-o-y) in the fourth quarter of FY20, while gross profits were up 95% y-o-y. The retailer’s sales have been driven by the COVID-19 lockdowns, as consumers increasingly shop more online.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased by 149%.
As of end-June Kogan.com had 2.18 million active customers, and acquired 109,000 active customers in that month alone.
“In early July we celebrated four years since listing the Company on the ASX and we are now proud to have delivered four consecutive years of significant growth in sales and earnings,” said Ruslan Kogan, Founder and CEO of Kogan.com.
Despite the Federal Court ruling that Kogan.com breached the Australian Consumer Law in its misleading 2018 tax time sales promotion, which did see a 4.7% drop in the company’s share price on Friday, Kogan.com shares began to rebound on Monday, and closed at $17.34.
“Every decision we make in the business assumes that our customers are smart shoppers who have done lots of research – in other words, educated, informed consumers. Our business has been obsessed with delivering value for our customers for 15 years, and this is exactly what we’ll keep doing for the next 15 years and beyond,” said Kogan.