Sosandar has recorded its first full year of profitability for the year ending March 2023, ”despite the challenging macroeconomic conditions”.
The British fashion retailer posted a profit before tax of £1.6m, a £2.2m increase from the £0.6m loss the business reported last year as revenues rose 44% to £42.5m.
It had net cash of £10.6m at the year end, up from £7m the previous year, following strong trading and an oversubscribed fund raise in February 2023.
During the reporting period total orders increased by 22% to 621,000 and active customers rose by 19% to 265,000.
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Sosandar believes that market expectations for the year ending March 31, 2024 are currently revenue of £57m and a pre-tax profit of £2.8m.
The business said trading with its third-party partners, including Next, John Lewis and Marks & Spencer, has been extremely strong, with a record quarter for the group delivered through third parties in the third quarter of fiscal year 2023, followed by a strong fourth quarter.
The retailer cited the successful initial online launch of its partnership with Sainsbury’s back in January, which is currently performing in line with expectations and the in-store roll-out of the curated collection is on track to launch in September 2023.
The business also signed a new third-party wholesale partnership with Freemans, part of the Otto Group, set to begin in September.
Co-chief executives Ali Hall and Julie Lavington said: “We are delighted to report on what has been a transformational year for Sosandar.
“Despite the challenging macroeconomic backdrop, we have seen increasing demand for our products across all categories with strong trading across both Sosandar.com and through our third party partners.
“The sustained growth in revenue and profitability throughout the period is testament to our ability to deliver a unique quality product offering and highly effective marketing strategy, that resonates with our customer base.
“Our success to date would not be possible without the commitment and dedication of our team and we would like to take this opportunity to extend our appreciation to all of our staff for their hard work during the year.”
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