Temple & Webster Q3 sales soar
Online furniture retailer Temple & Webster has taken another step towards an inaugural profit, booking its first twelve months of positive cash flows.
In its quarterly cash flow disclosure released on Wednesday morning the business said that its earnings before interest depreciation and amortisation (EBITDA) losses declined by 89 per cent in Q318 from $1.8 million in the prior period to $200,000.
Third quarter revenues increased by 23 per cent year-on-year, driven by more than a 20 per cent increase in both new and repeat customers.
“Top line growth was combined with the significant amount of work performed on the cost base and margins meant that we delivered the first 12-month period of positive cash flow in Temple & Webster’s short history,” chief executive Mark Coulter said.
“Our strategy of being a category specialist with a clear customer offering built around the largest range of furniture and homewares in the country, combined with the most inspirational content and the best customer service is working.”
With $9.3 million in cash at the close of the quarter the business heads into the last three months of fiscal 18 with more cash on hand than at the end of any quarter in the last twelve months.
Coulter has committed to achieving a maiden profit for the business in FY19 after stemming losses over the last few years, including an 84 per cent improvement in the first-half of fiscal 18.