Revenue rises but losses widen for Made.com

The London-listed company also recorded deferred revenue at year-end of £56m, remaining at elevated levels due to extended lead-times as a result of supply chain challenges.

It said active customers for the 12 months ended 31 December totalled 1.3 million - up 26% on 2020 - with its repeat order mix up to 44%, and average order value rising 8% to £246.

Made.com said its gross margin was impacted by global freight inflationary pressures, falling 694 basis points from 2020.

Excluding freight costs, its gross margin improved 193 basis points on a better full-price sales mix, higher input margins, and a positive foreign exchange benefit.

The firm reported an adjusted EBITDA loss of £14.3m, which was £9.2m wider year-on-year.

It recorded cost leverage across all of its operating cost lines, but said that was adversely affected by industry-wide freight inflation and supply chain disruption impacting revenue recognition timing during the final quarter.

Reported losses before tax were totalled £31.4m, including one-off initial public offering-related charges of £5.3m, compared to its £14.6m loss for 2020.

Net cash totalled £107m at the end of the period, with free cash flow coming in at a negative £32.1m for the year, compared to a positive £22.2m in 2020, as inventory intake normalised towards the end of 2021.

“I am proud of the excellent growth and strategic progress the business has delivered since its IPO,” said chair Susanne Given.

“We have a strong strategic plan in place to drive further and continuous growth.

“We will build on MADE's position as the leading digital destination for home through investing in the customer experience, the further development of our curated homewares range and growing the brand internationally.”

At the same time, Made.com confirmed Nicola Thompson as its new chief executive officer, with Given describing her as “the right person” to lead the company in its next phase of growth.

Thompson herself said the company was “delighted” to report another period of strong financial performance and solid operational progress.

“Made has an unrivalled understanding of its digital native customer base and this has enabled us to upgrade our proposition and significantly increase market share,” she added.

“We have a clear strategy, talented team and multiple levers to drive growth in the years ahead.

“I look forward to working with the very experienced board and the team at Made as we continue to listen to our customers' needs and aspirations in order to help them curate the vision they have for their homes.”

At 1020 GMT, shares in Made.com Group were up 1.83% at 72.7p.