Made.com’s losses widened despite posting record full-year sales bolstered by international expansion and redevelopment of its flagship London showroom.
The furniture retailer reported a loss before tax of £5.7m in 2018 up from a loss of £4.9m the previous year with a 45.6% increase in distribution costs the main contributing factor.
Despite this, the specialist retailer recorded a 37% increase in sales to £173.4m in 2018 compared with sales of £127m the previous year.
Adjusted EBITDA loss decreased to £0.4m during the period, down from a loss of £2.2m to 2017.
During the year, Made.com invested 50% more in technology development to enhance the customer journey and upgraded the company’s flagship Charing Cross Road showroom trebling the space and “redefining” customer experience.
The retailer continued to expand in to new territories during 2019 including a pop-up store in Stockholm and Denmark with Italy and Portugal in the pipeline.
Earlier this week, Made.com chief executive Philippe Chainieux said the retailer is considering a rental offering as “a big societal shift” is underway.
He added: “People are now renting things, they don’t want to spend as much money if they are not somewhere permanent but they do aspire to own nice things, so we are working out how to respond to that demand in a sustainable way.”
No comments yet