Moonpig has claimed its trading has remained in line with expectations across all of its brands in an update on its current financial year, and unveiled a new revolving credit facility.
The card company said its growth for the current year ended 30 April had been supported by rising volume growth over the peaks of Christmas, Valentine’s Day and Mother’s Day.
It noted that while the external environment remained “challenging,” expectations for its adjusted EBITDA and full-year sales remained unchanged.
The brand insisted it continued to make good progress on its customer-facing technology features, which it expected to drive sales growth.
The business said it was focused on bringing down debt and expects its ratio of net debt to adjusted EBITDA to be under 1.5x by the end of the financial year.
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Moonpig CEO Nickyl Raithatha said: “We are delighted that revenue remains in consistent growth at the Moonpig brand. Our continued focus on technology investment means that Moonpig group is now consistently delivering year-on-year growth in revenue and profit.
“This is underpinned by our resilient, profitable and cash generative business model, leveraging our unique use of data to drive customer loyalty. We continue to innovate to attract and retain our loyal customers and remain well positioned to benefit from the long-term structural market shift to online.”
Moonpig added that it had agreed a new £180m four-year multi-currency revolving credit facility (RCF) with a syndicate of banks.
It said its previous £175m term loan and £80m RCFs had been fully repaid.
In December, Moonpig profits edged up in its half year results, as subscriptions and video and audio messages boosted sales. In the nine months since its launch, its Moonpig Plus subscription had grown to 250,000 members.
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