Booktopia earnings double in third quarter

The continued rise in online shopping has delivered online bookseller Booktopia another strong period, with third quarter underlying EBITDA up 267 per cent to $4.2 million and revenue hitting $65 million – a 53 per cent growth on the same period last year.

And, due to improvements made in Booktopia’s distribution centre in Lidcome, Sydney, the business was able to ship 45 per cent more product during the quarter, from 1.44 million to 2.09 million items.

The results follow the business’ 51 per cent revenue spike during 1H21, which saw EBITDA jump fivefold to $7.9 million off the back of a sustained increased demand for books during the tail-end of the initial Covid-19 lockdowns.

This third quarter, however, is cycling against the first trading period impacted by widespread lockdowns and the initial burst of online shopping that followed.

“It is promising to see the changes in consumer behaviour that marked the period continue into the new year despite the absence of long-term lockdowns,” said Booktopia chief executive Tony Nash.

“Millions of Australians have now been introduced to the world of e-commerce and will continue to appreciate the convenience and value presented by online shopping. We expect demand to continue to grow for the foreseeable future as the overall market for online books grows and we continue to take more market share.”

The business sells across its own branded site, Angus & Robertson, eBay and TradeMe, and at the tail end of 2020 successfully competed an IPO to launch on the ASX at a market capitalisation of $315.8 million.

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