‘Recommerce’ firm MusicMagpie reports slide in profits as pandemic boom subsides
Refurbished tech selling platform MusicMagpie reported a slide in profits today after a pandemic-induced boom in demand subsided last year.
In its first full year as a public company the firm reported earnings before interest, interest, tax, depreciation, and amortisation (EBITDA) of £12.2m, down from 13.9m last year.
Revenues at MusicMagpie, which floated on London’s junior AIM market last year, dipped 5.1 per cent to £145.5m, down from £153.3m last year when the firm reported a surge in demand for its platform.
Boss steve Oliver said that it had been a landmark year for the firm in its first on the AIM market.
“We have delivered strong operational and strategic progress in our first year as a listed company, and have done so while staying true to our clear environmental and social focus and our long-standing ‘smart for you, smart for the planet’ ethos.
“During the year, we gave a ‘second-life’ to over 400,000 technology products, as well as 2,500 tonnes of disc media and books. This helped to save over 50,000 tonnes of CO2, which is the equivalent to providing heating for over 18,000 homes.
The firm said it enjoyed record sales in the UK and US during the Black Friday period across the business, and its its rental subscription offering was now continuing to grow.
The division had notched up around 19,000 active subscribers at the end of Q1, with a forward contracted order book of £2.2m, against just £0.4m last year.