Moonpig is on track to meet its 2025 guidance despite challenging market conditions and reduced consumer spending on larger gifts.
- The online retailer’s performance aligns with expectations due to consistent strong sales and order volumes.
- Greetz shows steady progress towards positive sales growth despite headwinds in gifting and Experiences category.
- Notable improvements in website conversion rates and customer acquisition contribute to growth.
- Moonpig’s technology and AI-driven approach is securing year-on-year growth in revenue, profit, and cash flow.
Moonpig has announced it is on course to fulfill its financial targets for 2025, despite current economic challenges and a consumer trend towards cautious spending on large-scale gifts. The company attributes its performance to stable sales and order metrics, with a noteworthy contribution from its subsidiary, Greetz, which is progressively advancing towards achieving positive sales growth.
The company has successfully navigated macroeconomic impediments impacting the gifting sector and experiential categories. Improvements in website conversion rates and new customer acquisition have been observed. Additionally, Moonpig Plus, the company’s membership program, continues to experience subscriber growth.
Moonpig also unveiled a strategic partnership with The Entertainer, a renowned toy retailer, to offer a selection of toys alongside its customizable cards. This initiative provides customers with access to up to 200 new toy products, featuring popular brands such as Paw Patrol, Barbie, and Squishmallows.
Nickyl Raithatha, Moonpig’s Chief Executive, emphasized the company’s strategic focus on technological innovations and AI. “Our ongoing investment in technology innovation and AI means that Moonpig Group is now consistently delivering year-on-year growth in revenue, profit and cash flow, driving sustained positive momentum in our trading performance,” he remarked.
Moonpig anticipates a sales growth rate in the mid-to-high single digits, along with an adjusted EBITDA margin of approximately 25% to 26%. This forward-looking strategy reflects the company’s commitment to harnessing digital advancements for business expansion, thereby capitalizing on the structural market shift towards online platforms.
Moonpig remains steadfast in its growth trajectory through innovation, strategic partnerships, and market adaptation.
