StockMarketWire.com - Online greeting cards and gifts group Moonpig posted a 3.4% rise in pre-tax annual profit, though its bottom line result was hit by a large tax bill following its recent listing.

Pre-tax profit for the year through April rose to £32.9 million, up from £31.8 million year-on-year, as revenue more than doubled to £368.2 million, from £173.1 million.

Net profit fell to £20.8 million, down from £30.7 million, and included tax of £12.1 million.

Adjusted pre-tax profit jumped 41% to £74.6 million.

Moonpig did not declare any dividends.

For the current financial year, it forecast a drop in revenue to around £250 million-to-£260 million, which it said implied growth of about 45%-to-50% compared to two years earlier.

The fall reflected 'normalisation of purchase frequency and a headwind from the large cohort of new customers following historical second-year spending patterns'.

The company said the new year had started 'moderately ahead' of expectations, consistent with the slower lifting of lockdown restrictions in the UK and the Netherlands.

It added that it would continue to prioritise additional investments in marketing and market share capture, over short-term profit margins.

'In the past year we have delivered an enduring transformation and step-change in the scale of our business,' chief executive Nickyl Raithatha said.

'The long-term growth opportunity remains vast, with the majority of the card and gifting market still offline, and we have never been in a better position to capture this growth.'


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