Global fashion e-commerce company NA-KD today announced outstanding results for 2018 and the first six months of 2019.
July 2nd, 2019
PRESS RELEASE July 2, 2019: Global fashion e-commerce company NA-KD today announced results for 2018 and the first six months of 2019.
Only three years after launch, NA-KD reports 78 MEUR in net sales in 2018, corresponding to 95% year-on-year growth rate, with substantially improved operational results. H1 2019 shows also 90%+ growth with EBITDA soon to converge to breakeven.
FY-2018: The company grew organically 95% in 2018 to net sales of 78 MEUR (FY-2017: 40 MEUR). The EBITDA results improved to -15% of net sales (FY-2017: -22%). The core business NA-KD stood for 90% (FY-2017: 73%) of total sales, a growth of 135%. NA-KD’s own private label brands stood for 79%.
H1-2019: In the first six months of 2019 the core business grew 93%, with private label brands further increasing its’ share to 86% of sales. The EBITDA improvements accelerated, reaching -11% of net sales, compared to -24% in the same period 2018. Most key markets are now showing profitability on monthly basis.
Jarno Vanhatapio, CEO & Founder comments on 2018 results: “2018 ended our third year since launch. Both growth and the operational results were in line with our plan. We once again achieved high growth numbers with significant key metric improvements. Our international ambitions are far greater than other direct to consumer companies from the Nordics. We continue to invest heavily to be able to support our rapid growth and cater for our medium to long term profitability targets. Our market penetration is still at low levels with traction in over 80 markets.”
Jarno Vanhatapio, comments on H1-2019 results: “2019 has started accordingly to plan. Our investments in IT, data-driven operations and products are starting to pay off with rapidly improving operational margins as a result. Our product margins in 2019 are stronger than ever and we have substantially improved the velocity of our supply chain. We are now down to single digit EBITDA losses on monthly basis and have reached EBITDA profitability in selected markets.”
Localisation drives growth & profitability
A tailored customer experience and increased organic traffic stemming from NA-KD’s localized sites has been an important driver for the growth and the fast improvements of the operational results. By implementing automated translation processes, NA-KD is now fully localized in Germany, Austria, Switzerland, Netherlands, UK, US, France, Belgium, Sweden, Denmark, Norway, Poland.
Bjorn Bergstrom, Head of Expansion at NA-KD, comments: “NA-KD has since launch had a relentless focus on customer experience. By increasing our localization efforts, we can serve customers in a better way. Our customer loyalty and repeat purchases are standing out amongst our peers and are continuing to improve quarter by quarter.”
Announcement of a 20 MEUR second tranche of Series B round Following the strong performance, the company completed in Q2 an oversubscribed issue of new shares. The 20 MEUR round was led by existing investors Partech, eEquity and Northzone, and also welcomed prominent investors such as Quadrille (France) and La Maison (Luxemburg).
Per Jalvemyr, CFO comments: “Given the strong interest from our current investors and the global financial market the opportunity rose for us to raise an additional 20 MEUR at good terms. The added funds will support our existing plan and reassure our strong momentum and financial position while we continue to invest in becoming the top of mind fashion choice for millennials across the globe.”
Selected key metrics 2019 NA-KD.com has since launch January 2016 in 3,5 years achieved a traction among millions of visitors across the world and mainly Europe.
Germany: 4% of all women aged 21-23 shopped at NA-KD during Q1-2019
Sweden: 21% of women aged 19-21 shopped at NA-KD during Q1-2019
For more information, contact:
Jarno Vanhatapio, CEO, firstname.lastname@example.org, +46 76 899 18 00
Per Jalvemyr, CFO, email@example.com, +46 70 314 70 11
Bjorn Bergstrom, Head of Expansion, firstname.lastname@example.org, +46 72 250 27 56
NA-KD.com launched in January 2016 and has established itself as one of the fastest growing fashion e-commerce brands. The website has monthly over 10 million visitors and the brand NA-KD is one of the fastest growing in social media with over 2,9 million global followers. NA-KD.com has delivered to customers in over 170 countries and ships every month to more than 100 countries. The majority of the sales comes from NA-KD.com and in-house brands such as “NA-KD Trend” and “NAKD Boho”. The brand NA-KD is also represented by over 1500 retailers across the globe.