Temple and Webster Reports Soaring Sales
Temple & Webster’s six month run up to the end of 2021 was a mixed bag.
On one hand, sales revenue was up an impressive 46 per cent, to $235 million, compared to the same period in 2020.
Active customers rose by 34 per cent (to 906,000) compared to the December half in 2020. In addition, the furniture and homewares retailer enjoyed a sales spike in January, as people stayed away from brick-and-mortar outlets.
Yet rising shipping costs and severe supply chain disruptions, plus heavy marketing costs, have seen net profit (after tax) down by 40 per cent, to $7.3 million for the six months ended December.
Marketing costs sat at 13.6 per cent of the total revenue for the December half, a hefty investment that the company believes will see them make further inroads into the $16 billion homewares sector.
Temple & Webster chief executive Mark Coulter said of the plan: “We remain confident our strategy is resonating with the next generation of shopper and that we are well placed to continue to take share in the market we are operating in,” he said.
Temple & Webster shares climbed by 10 per cent in early trading.