Australian book lovers have turned in droves to online retailer Booktopia (ASX: BKG) in 2021 with sales piling up like novels on bedside tables.
It was to be expected that December half results would have risen given the tectonic shift in online purchasing patterns, people spending more time at home and the busy Christmas period, but that momentum failed to drop off in the March quarter.
In fact, the year-on-year sales increase was higher by two percentage points at 53 per cent, reaching $65 million.
Meanwhile, underlying EBITDA soared by 267 per cent to $4.2 million.
The Australian-founded, Sydney-based company shipped 2.11 million units per month on average in the nine months to 31 March, representing a spike of 41 per cent.
Booktopia chief executive officer and co-founder Tony Nash notes the previous corresponding quarter was the first trading period impacted by widespread lockdowns and the rapid growth of e-commerce.
"It is promising to see the changes in consumer behavior that marked that period continue into the new year despite the absence of long-term lockdowns," he says.
"Millions of Australians have now been introduced to the world of e-commerce and will continue to appreciate the convenience and value presented by online shopping.
"We expect demand to continue to grow for the foreseeable future as the overall market for online books grows and we continue to take more market share."
The company says the results mean it is on track to achieving its upgraded FY21 revenue forecast of $217.6 million and an underlying EBITDA of $12.9 million, representing lifts on original prospectus forecasts of 6.4 per cent and 36.3 per cent respectively.Never miss a news update, subscribe here. Follow us on LinkedIn, Instagram and Twitter.
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