Moonpig revenues boosted by strong customer loyalty
Online greeting card and gifting retailer Moonpig Group has posted growth in annual revenue and profit after its investment in innovation and technology helped it to increase customer loyalty.
In the year to 30 April, revenue rose by 6.6% to £341.1 million with the performance underpinned by growth in orders and average order value at the Moonpig brand.
Meanwhile, adjusted pre-tax profit increased to £58.2 million from a prior £55.4 million as stronger trading was offset in part by higher interest charges and the amortisation of technology platform investments.
The group said its Moonpig Plus subscription scheme has exceeded expectations by passing the milestone of half a million members within one year.
Nickyl Raithatha, Moonpig chief executive, said: “We are delighted that the group has delivered full-year growth in both revenue and profit, with trading performance strengthening across our peak trading periods in the second half of the year.
“This has been driven by our multi-year investments in technology and innovation, which continue to foster extraordinary customer loyalty.”
The group said trading since the start of the new financial year has been in line with expectations with an increase in new and existing customer orders. It now expects the year’s revenue growth to be at a mid to high single digit percentage rate.
Raithatha added: “Our investments in new AI technologies are delivering an increasingly personalised experience for our customers.
“As the clear online leader in greetings cards, Moonpig Group is well positioned to benefit from the long-term structural market shift to online.”
