Business
Interim results
Interim results.
About this update from Gear4music (holdings) Plc
[{"type":"text","content":"\n \nRNS Number : 1128E Gear4music (Holdings) PLC 16 October 2018 \n\n \n16 October 2018\nGear4music (Holdings) plc\nInterim results for the six months ended 31 August 2018\n \nContinued momentum with strong revenue growth heading into the Christmas period \n \nGear4music (Holdings) plc, (\"Gear4music\" or \"the Group\") (LSE: G4M), the largest UK based online retailer of musical instruments and music equipment, today announces its unaudited financial results for the six months ended 31 August 2018 (\"the Period\").\nFinancial and Operational Highlights:\n \n\n\n\n\n£'000\n\n\n6-months ended 31 August 2018\n\n\n6-months ended 31 August 2017\n\n\nChange\n\n\n\n\nRevenue\n\n\n42,521\n\n\n31,219\n\n\n+36%\n\n\n\n\nGross profit\n\n\n9,636\n\n\n7,811\n\n\n+23%\n\n\n\n\nGross margin\n\n\n22.7%\n\n\n25.0%\n\n\n-230bps\n\n\n\n\nEBITDA\n\n\n652\n\n\n717\n\n\n(65)\n\n\n\n\nNet profit\n\n\n(362)\n\n\n4\n\n\n(366)\n\n\n\n\n \n· Revenues increased by £11.3m driven by strong UK (34%) and International (39%) growth\n· Gross margin of 22.7% reflects a strategy to gain market share of branded products during a highly competitive period, early indication of increase in H2\n· Own-brand revenue growth of 28%; Other brand growth of 40%\n· UK warehouse upgrades and transition into new Swedish distribution centre progressing to plan\n· Strong growth in Key KPIs including:\n- 40% increase in active customers \n- 38bps increase in conversion rate\n- 26% increase in own-brand product sales\n· Very strong revenue growth in H2 to date, and trading in line to meet full year expectations\n \n \nCommenting on the results, Andrew Wass, Chief Executive Officer said:\n\"During the Period we are pleased to have achieved further market share gains, with revenue growth of 36% and strong growth both in the UK and internationally.\nAs the market for musical instruments and music equipment continues to transform and consolidate, we have strengthened our position as the UK's leading retailer within the market, having invested into our customer proposition, market leading e-commerce platform, and scalable infrastructure.\nAs we continu...