Online electronics retailer Kogan has smashed its forecasts for its 2017 earnings, posting revenue of $289.5 million reports The Australian, up 37.1% compared to a year prior.
The business also expanded its customer base 36% and its earnings before interest, tax, depreciation and amortisation is up a whopping 230% to $31.2 million. The business also secured $3.7 million in profit.
“Kogan.com has delivered a strong result for the full year. The company has a strong balance sheet which will allow us to continue to fund growth in our core Kogan Retail businesses, while the continued diversification of our Kogan Portfolio is providing strong cash flows,” founder and chief executive Ruslan Kogan said in a statement.
“Our team is very proud of the fact we’ve managed to build and engineer a business model that is both a high-growth and dividend-paying company.”
Department store retailer David Jones is preparing for its new $100 million expansion strategy into the fine food market by slashing its range of 14,500 food products stocked in its food halls back to just 8,500, reports Ragtrader.
Seventy percent of the products are expected to be private label under the new food strategy, compared to the current 10%. The business is also preparing to open two new “concept spaces” to support its food strategy next year, with the first being located in Malvern central.
A number of standalone food stores will follow. The business’ expansion into the world of fine food is expected to result in a $5 million deficit, with a planned return to profitability by 2019.
The ABC reports Australia’s unemployment rate has dropped to 5.6% thanks to a influx of close to 28,000 jobs over the month of July, but over 20,000 full-time jobs were lost in the same period.
However, the Australian Bureau of Statistics was bullish on the general employment growth, with chief economist Bruce Hockman saying in a statement stable figures for full-time employment are up for ten straight months.
“Full-time employment has now increased by around 220,000 persons since September 2016, and makes up the majority of the 250,000 person increase in employment over the period,” he said.
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