Kogan triples net profit during December half, active customers pass 3 million
Online marketplace Kogan has seen gross profit double to $112.9 million during the six months to 31 December, while net profit (excluding non-cash items) jumped 250 per cent to $36.5 million.
And, after months of continued growth due to the sustained shift online brought on by the Covid-19 pandemic, earnings per share tripled to 35c per share.
Active customers hit 3 million after achieving network growth of 76.8 per cent.
“We launched Kogan to change the retail industry nearly 15 years ago, and we would have been cheering if we helped 3,000 customers that year,” said founder and chief executive Ruslan Kogan.
“So even though well over three million customers used Kogan in the last 12 months, we feel like we’re just getting started.”
During the first four weeks of the second half the business saw gross sales up 45 per cent and gross profit up 102 per cent.
And, according to Kogan, the business plans to invest in its logistics network with the aim of improving speed of delivery, range, and competition across its platform, and will pay a fully-franked interim dividend of 16 cents per share – though won’t provide earnings guidance for the half ahead.
While the business has seen massive grown its active customer base, it was also fined over $300,000 in January for breaching Australian spam laws – sending those customers over 42 million marketing emails that didn’t include the ability to unsubscribe.
The online marketplace is no stranger to fines, having been forced to pay $350,000 by the ACCC in December after an investigation found it had made false and misleading marketing claims about a tax time promotion in 2018.