Koovs says external factors in rearview mirror as gross orders increase in Q1
Source - SMW
Fashion-forward business Koovs said it had turned corner following the turmoil caused by the implementation of goods and services tax as gross orders increased in the first quarter of the year.
For the three months ended 31 March, gross order value, representing sales generated on the KOOVS.COM website, increased by 67% to £4.4m compared to the same period in 2018.
Second-half gross order value increased to £8.0m from £6.9m a year ago, and the trading margin increased to 18% from 14% a year ago, the company said.
'Over the last 18 months, the Board has demonstrated its experience and expertise, taking the decisions necessary to protect the Koovs brand and to conserve resources during a period of turmoil caused by demonetisation and the implementation of Goods and Services Tax (GST); this included reducing marketing costs and stock levels,' the company said.
'The external factors that disrupted our business are now firmly behind us. We have deployed the funds raised in 2018 to resume marketing activities and expand the product range - this was the driving force behind the growth in sales and trading margin experienced in the second half of the year,' said Mary Turner, Koovs' Chief Executive Officer.
'We are now building on this positive momentum and are starting to deliver the growth we always believed the Company is capable of.'
At 8:21am: (LON:KOOV) Koovs Plc Ord 1p share price was +0.6p at 9.25p