Kogan releases upbeat trading update
The company’s update on Tuesday said fourth quarter business had exceeded management budgets, with continued strong trading momentum producing net operating June quarter cash flows of $9.9 million.
The online retailer stated it is in a strong financial position with $32 million in cash at the end of the financial year.
Ruslan Kogan, founder and chief executive, said he was pleased the company has delivered cashflows that “demonstrate better than forecast operating results for Kogan.com’s fourth quarter of trading as a listed company”.
“We have closed out our first financial year as a listed company with strong trading momentum, and some very exciting growth opportunities,” he said.
Kogan added they are looking forward to continuing this trend into FY18 and beyond.
Kogan said the company, which sells a variety of branded and private labelled merchandise, including pet accessories, beauty products and travel deals, has plenty of funds, including a $10 million bank facility that remains undrawn.
Shares in Kogan.com have jumped to a record high after the online electronics retailer released its upbeat trading update.
The company, which listed on the ASX in July, 2016, surpassed its issue price of $1.80 a share for the first time earlier this month.
Shares in Kogan were 14 cents, or 6.8 per cent, higher at $2.19 at 1115 AEST.
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