REG-Moonpig Group Plc: Trading Statement

MoonpigAnnouncement

03/04/2025 07:04

3 April 2025

Moonpig Group plc

Strong profit performance. New £60m share buyback announced

Moonpig Group plc (the "Group"), the leading online greeting card and gifting
platform in the UK and the Netherlands, today provides an update on its
trading performance for the current financial year ending 30 April 2025.

 

We anticipate full year revenue will be between £350 million and £353
million, alongside a stronger than expected Adjusted EBITDA margin, which will
be at the top end of our 25% to 27% guidance range, and double-digit
percentage growth in Adjusted EPS.

 

Revenue growth continues to be underpinned by strong sales at Moonpig, driven
across our three core growth levers: customer base, order frequency and
average order value. Greetz had a softer start to the second half of the year,
but recent performance has been improving. At Experiences, we remain focused
on delivering our transformation plan.

 

Gift attachment rates at Moonpig and Greetz have seen strong growth in the
second half, supported by enhanced recommendation algorithms and the
introduction of trusted third-party brands to our curated gifting range.
Membership of our Plus subscription scheme continues to grow, and our tracked
Moonpig Guaranteed Delivery service is now chosen for one in five card-only
orders in the UK. Gross margin rate performance has remained strong,
consistent with the first half of the year.

 

The Group is highly cash generative and we continue to expect net leverage of
approximately 1.0x Adjusted EBITDA as at 30 April 2025. Our inaugural
six-month £25 million share repurchase programme is expected to complete by
financial year-end. Given our continued strong free cash flow generation, the
Board announces its intention to start a new £60 million share buyback which
would commence in FY26.

 

 

Nickyl Raithatha, CEO, commented:

 

"We are pleased that Moonpig Group continues to deliver strong profitability
and high free cash flow generation, driven by the power of the Moonpig brand.
Our strong performance reflects our unique customer proposition and sustained
investments in technology and data.

 

By using technology, data and AI, we help our customers express themselves and
connect with their loved ones, deepening engagement and strengthening loyalty.
One in three Valentine's Day cards created on Moonpig and Greetz featured at
least one of our innovative personalisation tools, such as AI handwriting, or
audio and video messages. We've been delighted with the positive reaction to
our latest feature, AI generated stickers for the inside of cards, where
customers have already created over 1 million personalised images in just the
few weeks since the launch.

 

As we look ahead, we remain well positioned to benefit from the long-term
structural shift to online and to deliver mid-teens percentage growth in
Adjusted earnings per share over the medium-term."

 

 

Enquiries

 

 Brunswick Group                            +44 20 7404 5959, moonpig@brunswickgroup.com    
 Helen Smith, Lana Serebryana                                                               
                                                                                            
 Moonpig Group                              investors@moonpig.com, pressoffice@moonpig.com  
 Nickyl Raithatha, Chief Executive Officer                                                  
 Andy MacKinnon, Chief Financial Officer                                                    

 

 


About Moonpig

 

Moonpig Group plc (the "Group") is a leading online greeting cards and gifting
platform, comprising the Moonpig, Red Letter Days and Buyagift brands in the
UK and the Greetz brand in the Netherlands. The Group is the online market
leader in cards in both of its markets and is also the UK market leader in
gift experiences.

 

The Group's leading customer proposition includes an extensive range of cards,
a curated range of gifts, personalisation features and next day delivery
offering. The Group offers its products through its proprietary technology
platforms and apps, which utilise unique data science capabilities designed by
the Group to optimise and personalise the customer experience and provide
scalability. Learn more at https://www.moonpig.group/.

 

 

Forward Looking Statements

 

This announcement contains certain forward-looking statements with respect to
the financial condition, results or operation and businesses of Moonpig Group
plc. Such statements and forecasts by their nature involve risks and
uncertainty because they relate to future events and circumstances. There are
a number of other factors that may cause actual results, performance or
achievements, or industry results, to be materially different from those
projected in the forward-looking statements.

 

These factors include general economic and business conditions; changes in
technology; timing or delay in signing, commencement, implementation and
performance of programmes, or the delivery of products or services under them;
industry; relationships with customers; competition; and ability to attract
personnel. You are cautioned not to rely on these forward-looking statements,
which speak only as of the date of this announcement. We undertake no
obligation to update or revise any forward-looking statements to reflect any
change in our expectations or any change in events, conditions or
circumstances.



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