Sosandar trading ahead of full-year market expectations
Women’s fashion brand Sosandar said on Tuesday that it was trading ahead of full-year market expectations as it posted a jump in first-half revenue and a narrowing of its losses.
In the six months to 30 September, revenue rose 184% from the same period a year ago to £12.2m, and EBITDA improved to a loss of £0.99m from a loss of £1.02m. Active customers increased 41% to 191,000 and the number of orders rose by 153%.
Sosandar said revenue for the period from 1 October to 29 November was up 120% on the same period in 2020, and the group was EBITDA positive in October and November.
The company said it was trading ahead of market expectations for the full year, which are for revenue of £24.4m and an EBITDA loss of £1.2m.
Sosandar did not experience any material impact from logistical challenges over the first half due to the pandemic, including the country-wide supply chain disruption currently impacting many industries.
"As a result of starting to scale the business and an increase in order quantities we have benefited from margin growth, which has offset the small degree of upwards pressure experienced by supply chain costs," it said.
Co-chief executives Ali Hall and Julie Lavington said: "We are delighted to be reporting such strong revenue and active customer growth as well as reaching a significant milestone in delivering two EBITDA positive months in October and November.
"This pivotal achievement reflects customer engagement KPIs being substantially ahead of the prior year, including the increase in our number of active customers, repeat customers and conversion rates, highlighting the effectiveness of our marketing strategy, diverse product range and operational excellence.
"Anticipating high demand as restrictions were eased, we decided to bring in stock early for autumn, including partywear, coats, boots, and knitwear. This decision has allowed us to meet the exceptionally strong demand for our product with sequins, Christmas jumpers and fur coats emerging as best sellers."