Online bookstore Booktopia increased revenue 51.1 per cent to $112.6 million during the half year to December, while EBITDA rose 502.3 per cent to $7.9 million.
The business ultimately delivered a loss, however, due to the costs of its $25 million IPO last year as well as expenses of converting preference shares. In total, loss after tax spiked 3207 per cent to $19.7 million.
Covid-19 has created the ideal trading environment for the business, with a significant uplift in online shopping and customer demand for books emerging due to the nature of the country’s lockdown.
“This translated into sustained increased demand even following the relaxing of restrictions,” Booktopia said.
The business’ supply chain was impacted by the increased demand, and caused delays across its network due to the difficulties in sourcing goods from overseas. Moving forward, Booktopia will place more orders with the US, rather than the UK, due to its fewer border restrictions, as well as further automation in its Lidcome distribution centre to speed up customer orders.
Looking to the year ahead, the business plans to seek out “bolt on acquisition opportunities” across Asia-Pacific, picking up businesses across the region that could integrate into its existing operations and expand its reach.
“While the group’s immediate focus is Australia and New Zealand, expansion into other markets may represent an attractive medium-term potential growth opportunity where the group believes it can achieve appropriate returns,” the business said.
Additionally, the business will continue to up its education and corporate sales, with a “substantial growth” opportunity in pre-school, primary, secondary and tertiary textbook sectors.