Made.com reports maiden UK profit as demand surges

By

Barbara Santamaria

Published
Oct 5, 2017

A 48% increase in sales has helped furniture design brand Made.com to its maiden UK profit, figures showed on Wednesday.

The company said overall sales increased to £91 million in the year ended 31 December 2016, with UK revenue increasing by 38% and its newer international business growing by 69%.

International sales now account for 35% of the total, up from 31% in 2015.

The surge in orders meant the London-based business, founded in March 2010, became profitable for the first time. Gross profit for the period increased by 58% to £49.3 million, while adjusted EBITDA improved to a loss of £3.8 million from a loss of £6.2 million in 2015.

CEO Philippe Chainieux said: “Our latest published financial results, show sales fast approaching £100m, demonstrating our scale and proving that the online business model works, as operational leverage becomes evident.

“While our primary focus continues to be on winning Pan European market share in order to optimise this sizeable long term opportunity, the UK’s move into profitability is a significant moment in the group’s evolution.

“Since inception seven years ago, Made was created with the specific purpose of winning and winning big in the consumer transition from high street to online by creating a new and contemporary customer proposition, which helps overcome the hurdles to online purchase.

“The pace of this structural shift is increasing and is now more evident than ever, with consumers growing in confidence transacting online, for home and big ticket items. MADE is leading this change.”

The company opened an 840 sq mt showroom in Paris and its first German showroom in Berlin last year.