(Australian Associated Press)
Marley Spoon says its pathway to profitability has accelerated after a surge in demand globally for its home-delivered meal kits amid the coronavirus lockdowns.
The Berlin-headquartered, ASX-listed company said it now expects to achieve positive earnings this quarter, earlier than its previous estimate of late-2020.
The company earned 22 million euros in revenue in the four weeks since mid-March, more than double compared to the same time last year.
Its shares more than quadrupled since the coronavirus crisis began, going from 25 cents on March 16 to as high as $1.365 on April 20.
At 1107 AEDT, Marley Spoon shares were down 7.3 per cent to $1.21, after having risen 11.6 per cent on Tuesday.
Marley Spoon reported an operating loss of 6.4 million euros for the March quarter, almost halving the 12.2 million euros loss a year earlier. Revenue for the quarter jumped a record 46 per cent to 42.8 million euros.
In Australia had 14.8 million euros in revenue in the three months to March 31, compared to a year ago.
Its active customers grew 62 per cent to 81,000.
It also showed strong growth in the United States, while European revenue was up a more subdued 11 per cent.
The company has forecast it will exceed its guidance of 30 per cent revenue growth this calendar year, but given the unprecedented situation, it could not say by how much.
Customer acquisition costs and marketing expenses have dropped significantly, both because of increased inbound interest and a drop in advertising rates.
“Customers are staying home and looking for reliable and safe ways to cook for their families,” Marley Spoon chief executive Fabian Siegel said.
“Having been able to operate as an essential service, the team has risen to the occasion.”
Its supply chain has proven resilient and the company has been generally able to adapt menu choices to respond to shortages or price increases.