Virgin Wines FY revenue, EBITDA seen 'marginally' ahead of expectations
Virgin Wines said on Tuesday that FY21 revenue and EBITDA are set to be "marginally higher" than previous expectations following "strong" levels of customer demand in May and June.
Current market expectations are for revenue of £73m and EBITDA of £6.3m.
In an update for the year ended 30 June, the company said it now expects revenue of £73.8m, up 30% from 2020 and 74% from 2019, while EBITDA is seen rising 45% from 2020 and 183% from two years ago to £6.4m. Virgin Wines said the customer base grew year-on-year by 24% and is up 44% since the start of 2020.
The firm said positive sales momentum has continued into July despite the lifting of lockdown restrictions and the opening up of hospitality across England.
"The board is confident that the underlying growth drivers which the direct-to-consumer wine sector is experiencing, as well as the shift in customer behaviour towards online retailing, remain strong," it added.
Chief executive Jay Wright said: "FY21 has been a transformational year for Virgin Wines delivering significant growth in our revenue, our profit and our customer base. This has been achieved whilst successfully listing the business on AIM and navigating the operational complexities that comes with significant growth in a Covid world.
"We finish FY21 in excellent shape and in a stronger position than ever to continue our growth. Whilst we will all be watching with interest consumer trends that may develop over the coming year, we have seen nothing but encouraging signs over recent months that the customers we have acquired are staying loyal, our subscription schemes are as robust as ever and that our ability to attract new customers at a competitive cost per recruit remains."
At 0815 BST, the shares were up 3.8% at 205.05p.