Earnings and sales leap at The Hut
ONLINE retailer The Hut Group has reported strong sales and earnings growth for 2012, and says it continues to make progress both at home and internationally.
The ambitious Northwich-based company, which is focused primarily on the lifestyle and health & beauty categories, said EBITDA rocketed 130% to £10.1m in 2012 from £4.4m in the previous year.
Sales rose 30.4% to £145.3m in the 12 months to December 31. The Hut’s own brands such as MyProtein and Lookfantastic accounted for 35% of sales, while 36% of sales were to international customers.
The group, which employs more than 600 people in the region, said margins had also increased during the year. At the bottom-line the acquisitive company reported a £300,000 profit compared with a £12.7m loss in 2011.
Co-founder and chief executive Matthew Moulding, said: “I am pleased to report another strong set of trading results for the Group. The growth in both our own branded products, as well as our rapid expansion overseas, is presenting the group with some significant opportunities in our principal operating categories of lifestyle and health & beauty.
“Our substantial and recurring investment in the group’s proprietary operating platform is fundamental to increasing operating leverage which the group is realising as we build scale.
“The platform has been a key factor in delivering the trading growth in 2012 which continues in 2013. Continuous investment in our data platform generates ever deeper trading insight into our customers and is a key component in ensuring the group generates low cost, highly relevant visitors to our websites.”
Chairman Richard Pennycook, who recently replaced Angus Monro in the role, added: “2012 has been a particularly pleasing year for the group, delivering some excellent financial results during a period of sustained high growth.
“The group’s model is showing itself to be both scalable and disruptive, with international markets a particular opportunity. The group remains well placed to continue its high growth across its core markets, especially as the channel shift towards online sales continues.”
