Online retailer Kogan.com has released its Cash Flow Statement for the quarter ending 31 December 2016. Christmas trading demonstrated strong demand for new products and this has continued post-Christmas, CEO Ruslan Kogan said. “The release of capital constraints has allowed the company to operate with desired inventory levels of brand new in-demand private label stock,” he said.
In a statement the company said it had exceeded expectations for November and December trading against the budget for those months of between $8 million and $9 million for FY17. Almost 90% of warehouse stock as at 31 December 2016 was received during 2Q17 indicating strong turnover of inventory. The company ended 2Q17 with cash of $26.5 million.
“With a healthy cash balance and the company’s best ever level of quality inventory, we believe Kogan.com is well placed to continue the strong momentum generated in the first-half,” Kogan said.
He said while earning performances to date is exceeding expectations, the Board is mindful that a half-yearly review is being undertaken by the auditor. “The Board is closely monitoring ongoing trading performance, and will consider if a further update to the company’s outlook is required at the conclusion of the auditor’s half-yearly review.”