The Kogan share price fell around 14% today after giving a business update.
For the three months to 31 March 2021, gross sales went up 47% and revenue rose by more than 65%. Gross profit grew by more than 54% and adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) fell by 24%. Kogan active customers went up by 77% to 3.22 million.
The ASX 200 share said that it has continued its long-term strategy of investing in technology, brand awareness, logistics capability, platform improvements and Kogan First membership benefits to lay the foundation for future growth and provide ongoing improvements in the customer experience.
However, in the period to March 2021, customer demand fluctuated below the levels seen in the prior nine months to December 2020. As a result, the company was required to store larger amount of inventory, after ordering a high level of product in reaction to the demand seen in the first half of the financial year. This resulted in high sto
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