Australian luxury online retailer Cettire has recorded a 98% lift in sales revenue to $416.2 million in FY23.
Adjusted earnings before interest, tax, depreciation and amortisation of $29.3 million were up from a negative $21.5 million in FY22. The company also recorded an 87% lift in gross revenue to $539.2 million and delivered margin up 156% to $95.6 million.
Cettire founder and CEO Dean Mintz cited the successful execution of localisation strategies across Asia and Europe for the boost in annual sales.
“Through strong execution against our strategy to maximise profitable revenue growth, Cettire grew rapidly whilst also delivering significant profitability and cash generation,” Mintz said. “Cettire is a highly nimble business, with a largely flexible cost base. This enables us to adjust quickly to market conditions and optimise performance.
“The pace at which we have been able to drive improved performance through FY23 is something I am particularly proud of.”
Cettire reported a 140% lift in gross revenue within its emerging overseas markets following the deployment of Chinese, Japanese and Spanish language sites during FY23. China in particular has been a major focus for the business.
Emerging markets accounted for 27% of gross revenue during the period, up 6% from last year.
The opportunity to accelerate growth in established markets (US, UK, Australia) also remains substantial, according to the luxury marketplace.
Established markets increased gross revenues by 77% compared to FY22, led by the US market at around 60% with Australia accounting for 8%.
Cettire recorded a 63% lift in active customers to 423,000 with year-on-year growth accelerating since April 2023.
Repeat customers accounted for 58% of gross revenues (FY22: 50%), with higher average spend per order and increased order frequency for this customer group.
The company’s paid customer acquisition expenses were down 6.9% from last year to now 8% of sales revenue.
Looking ahead, Cettire has noted further acceleration in active customers growth rate to 67% in the first few weeks of FY24 compared to the same time last year.
The company's sales revenue increased approximately 120% in the same period, with EBITDA profitability maintained.
“We are pleased by the early trading in FY24, with all our key markets performing strongly," Mintz said. "Cettire is well positioned for another strong year of growth and profitability.
"We are well advanced in our preparations for China market entry, which remains a very attractive market opportunity and offers significant incremental growth potential.”
Mintz said the value of available inventory has significantly expanded to approximately $2 billion.
The company has also brokered direct luxury brand deals, including a commercial agreement with Zegna to directly integrate and sell its products on the Cettire platform.
"We have considerable momentum in the supply chain as our compelling supplier proposition gains traction,” Mintz said. “Our focus is on continuing to drive penetration across the supply chain, which in turn enables us to better serve our customers.”