KGN +14.87%: today’s trading update from e-commerce retailer Kogan was a positive one highlighting how far the business has turned around in ~12 months despite facing consumer headwinds. Gross sales are expected to fall 5.6% vs 1HFY23, thanks in part to a shift towards platform sales. This shift has helped reduce inventory risks, an issue that plagued the company last year, as well as lift margins with Gross Profit Margin rising from 34.4% to 36% in the half vs 2HFY23, Gross Profit up 42% YoY as a result. The company expects first half EBIT of $14m when the company reports next month vs FY consensus of $17m, on track for a strong beat though no guidance was provided.
MM has turned Neutral/Bullish KGN
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