• Ruslan Kogan. Image credit: kogan.com
    Ruslan Kogan. Image credit: kogan.com

Kogan's continued growth in its customer base has been flagged as one of the drivers of its strong first half results, the business has reported. 

In H1 FY21, the business grew its active customer base to over three million (excluding Mighty Ape) - up 76.8% compared to December 2019.

Meanwhile, recent acquisition Mighty Ape, saw its customer base grow to 719,000 in the half. 

The expanding customer base saw the eTailer deliver a 97.4% increase in gross sales to $638.2 million in the half. 

Speaking on the growth, Kogan CEO Ruslan Kogan said the business is keeping its focus on the future. 

"We launched Kogan to change the retail industry nearly 15 years ago, and we would've been cheering if we helped 3000 customers this year. 

"So even though well over three million customers used Kogan in the last 12 months, we feel like we're just getting started. 

"We're not just focused on today, or tomorrow, but how we'll continue to delight all our customers on our 30th birthday," he said. 

Alongside the growth in customers, Kogan cites its exclusive brands as another driver of growth. 

In the half, exclusive brands continued to achieve year-on-year revenue growth, increasing 114.9% compared to H1 FY20. 

The segment also achieved gross profit growth of 179.4%, accounting for 55.9% of the Group's overall gross profit - which was up 126.2% to $112.9 million. 

Meanwhile, Kogan Marketplace was also a source of strength for the business in the half, with gross sales on the platform increasing 194.3% during the period. 

The Marketplace offering also attracted more sellers during the period, giving the eTailer a wider assortment of products, without needing to invest in inventory, the business said. 

"The exceptional growth of Kogan Marketplace has led to a period of transition for the Business. 

"We are continually improving our proprietary marketplace platform which enables the Business to achieve ongoing growth without a corresponding investment in inventory. 

"The growth of Kogan Marketplace means that customers have more choice than ever," the eTailer said. 

To continue to grow, the Group is set to invest further in its capabilities across the different segments of its business, Kogan added. 

"The rapidly expanding network effect at Kogan means that as we attract more customers, we're able to make the products and services they need even more affordable and accessible. 

"The investments we're making into Kogan today are to ensure that we can continue to delight millions of customers in more and more ways. 

"This includes significant improvements to our logistics network, speed of delivery, range expansion, and improved competition on our platform to drive even better experiences for customers," he said. 

Overall, Kogan Group reported an 88.6% increase in revenue to $414 million and an EBITDA of $51.7 million, up 184.4%. 

The business closed the half with $79 million in cash, with $1.4 million of its debt facility drawn within Mighty Ape. 

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