Boozt AB’s Half year report, January 1 – June 30 2018
Organic growth of 44% (constant currency 40%) in the second quarter with 43% growth in Boozt.com and 90% growth in Booztlet.com. Adjusted EBIT margin increased 2.7 percentage points to 4.9%. For the first six months organic growth was 38% and adjusted EBIT margin increased 1.5 percentage points to 2.4%. The revenue growth outlook for 2018 is adjusted upwards to more than 36% from previously more than 33%.
| SEK million | Apr 1 – Jun 30, 2018 | Apr 1 – Jun 30, 2017 | Change | Jan 1 – Jun 30, 2018 | Jan 1 – Jun 30, 2017 | Change | ||
| Net revenue | 714.7 | 496.1 | 44.0% | 1 266.6 | 917.3 | 38.1% | ||
| Gross profit | 300.4 | 220.1 | 36.5% | 516.4 | 407.2 | 26.8% | ||
| EBIT | 34.1 | -82.9 | n.m. | 27.7 | -109.1 | n.m. | ||
| Adjusted EBIT | 35.0 | 10.9 | 221.8% | 30.8 | 8.3 | 269.4% | ||
| Earnings per share (SEK) | 0.43 | -1.37 | 1.80 | 0.23 | -1.79 | 2.02 | ||
| Organic growth, % | 44.0% | 39.0% | 5.1 pp | 38.1% | 48.7% | -10.6 pp | ||
| Gross margin, % | 42.0% | 44.4% | -2.3 pp | 40.8% | 44.4% | -3.6 pp | ||
| EBIT margin, % | 4.8% | -16.7% | 21.4 pp | 2.2% | -11.9% | 14.0 pp | ||
| Adjusted EBIT-margin, % | 4.9% | 2.2% | 2.7 pp | 2.4% | 0.9% | 1.5 pp |
CEO Hermann Haraldsson says: “As communicated after Q1 we had solid momentum in the first part of Q2, which we maintained throughout the quarter resulting in a growth of 44%. As always, our focus is on giving the best possible customer experience to increase the loyalty with our customers. The positive development in the key performance indicators such as customer satisfaction and true frequency shows that the building blocks for continued growth are in place.”
“Profitability showed a good development as the operational cost ratios improved showing the value of our flexible and scalable setup in both fulfilment, marketing and administration. The positive development on the operational side was partly offset by a lower gross margin. Trading conditions turned a bit more difficult towards the end of the quarter due to the unusual long and warm summer in the Nordics. As we are allergic to building up too much inventory in season we increased the promotional activity towards the end of Q2, putting pressure on the gross margin. This has continued into Q3.“
“Based on our solid performance in the first six months and momentum in the key performance indicators we feel confident in increasing our growth guidance to more than 36% for the year. We look forward to a busy rest of the year with increased focus on the categories Beauty, Sports and Kids coupled with exciting brand launches such as adidas, Reebok and Polarn O. Pyret. Also Booztlet.com will be exciting to follow as our increased focus allows for a stronger push into the off-price segment.”
| Outlook for 2018* | 17 August 2018 | 17 May 2018 |
| Net revenue growth | More than 36% | More than 33% |
| Adjusted EBIT margin | Slightly improved from 2.4% | Slightly improved from 2.4% |
*The outlook assumes constant currencies from the time of this announcement and for the remainder of the financial year.
Telephone conference / audiocast
Boozt’s Group CEO, Hermann Haraldsson, and Group CFO, Allan Junge-Jensen, will present the Half year Report at a telephone conference / audiocast at 09.30 CET on Friday, August 17, 2018. The presentation will be held in English and will be followed by a Q&A session. Questions can be asked via the telephone conference or in written form via the audiocast.
For presentation material or information about how to participate, please visit Boozt’s website.
For additional information, please contact:
Boozt AB (publ)
Hermann Haraldsson / Group CEO / Phone: +45 20 94 03 95 / Email: heha@boozt.com
Allan Junge-Jensen / Group CFO / Phone: +45 41 19 70 60 / Email: ajj@boozt.com
Anders Enevoldsen / Head of IR & Corporate Communications / Phone: +45 53 50 14 53 / Email: anen@boozt.com
This information is such information as Boozt AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 8:00 a.m. CET on 17 August 2018.
Boozt is a leading, fast-growing and profitable Nordic technology company selling fashion online. The Group generated net sales amounting to SEK 2.0 billion in 2017. Boozt offers its customers a curated and contemporary selection of fashion brands, relevant to a variety of lifestyles, mainly through its multi-brand webstore Boozt.com. The company is focused on using cutting-edge, in-house developed technology to curate the best possible customer experience. Besides Boozt.com, the company also runs the webstore Booztlet.com and retail stores Booztlet and Beauty by Boozt in Denmark. For more information, please visit booztfashion.com.
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