Kogan.com has announced a 14.3 per cent increase in its interim dividend, raising it to 8 Australian cents per share. This decision comes after the company reported its first-half results, which showed a stronger margin in its core online retail business offsetting some weakness experienced by its New Zealand subsidiary, Mighty Ape. Kogan.com is an online retailer offering a variety of products, from consumer electronics to home and lifestyle goods, direct to customers.
The group’s first-half gross sales reached $572.4 million, marking a 16 per cent increase compared to the previous period. Revenue also saw a rise, climbing 5 per cent to $287.6 million. However, net profit experienced a 20 per cent decrease, settling at $8.2 million. This decline is primarily attributed to losses incurred at Mighty Ape, Kogan.com’s New Zealand-based online retailer.
While Kogan.com’s standalone business demonstrated robust growth with a 17 per cent increase in revenue to $232.4 million, Mighty Ape faced challenges during the period. Mighty Ape reported revenue of $55.2 million, representing a 25 per cent decrease, and an adjusted EBITDA loss of $3.2 million. The mixed performance reflects varying market conditions and operational challenges across different segments of the business.
Looking ahead, Kogan.com reaffirmed its full-year adjusted EBITDA margin guidance, maintaining its projection of 6 per cent to 9 per cent. This suggests the company anticipates continued growth and profitability in its core operations, despite the headwinds faced by its New Zealand subsidiary. Investors will be watching closely to see if the company can achieve these targets in the second half of the financial year.
