Sosandar FY revenues, earnings to beat market expectations

The company said market expectations for the year to the end of March 2022 are for revenue of £27.1m and an EBITDA loss of £0.9m.

Following a record performance in the third quarter, the group delivered its second consecutive EBITDA positive quarter in the final quarter of the year, with "very strong" trading across all channels, hence the upgraded outlook.

It expects to report a 138% jump in revenues on the year to in excess of £29m and an EBITDA loss reduced by more than 80% from £2.92m in FY21.

Sosandar said the number of orders rose 84% during the period to 508,473, while repeat orders were up 93% to 366,848 and the conversion rate increased to 3.9% form 3.1%. The average order value was £90.39, versus £82.70 a year earlier.

The company also said it had extended its third party arrangement with Next, with Sosandar products to be sold through its 'Platform Plus'. It has also begun a wholesale agreement with The Very Group.

Co-chief executives Ali Hall and Julie Lavington said: "This has truly been a milestone year for Sosandar, and we are delighted with what the team has achieved over the past 12 months. We successfully executed our strategy across own site and third parties, building momentum in H2 and ultimately delivering our first six months of profitability which is a pivotal moment for us all. This outstanding performance means we now anticipate FY22 results to be ahead of current market expectations.

“Our success is testament to what we have achieved as a business to date, further endorsing the strong and ever-growing appeal and quality of the Sosandar brand. We are also incredibly proud Sosandar is capturing the hearts of fashion-forward women and are delighted to add The Very Group to our family of partners."

At 0815 BST, the shares were up 17% at 28.15p.