Sosandar marks a "milestone year" after first year of profitability

As the business continues its push to become "one of the largest womenswear brands globally", Sosandar has seen revenues skyrocket by 44% year-on-year.

The milestone year, ending 31 March 2023, reported revenues of £42.5 million, up 44% year-on-year from £29.5 million. This year marked the first profitable year for the fashion company, delivering £1.6 million in profit, compared to £0.6 million loss the year prior.

Gross margin remained at 56.1% (FY22: 56.0%), despite growth in revenue through its lower-margin wholesale channel.

The number of online orders increased by 22% to 620,977, of which 148,382 were from new customers and 472,595 were from existing customers. In addition, the average order value is up 8% to £97.27. Active customers increased by 19% to 264,832 and the average order frequency increased by 3% to 2.34 times per year.

This year also saw Sosandar join forces with third-party partners, such as Sainsbury’s in Q4 of 2023. The well received launch reportedly considerably helped with the current financial year's successes.

An impressive full year report follows the company’s successful investment round in February of this year. Sosandar raised £5.5 million in new investment, with new and existing investors showing support for the business and its plan for future growth.

Ali Hall and Julie Lavington, Co-CEOs of Sosandar, commented: "We are delighted to be reporting a milestone year. Sosandar has grown from a true start-up business just six years ago to a brand which is delivering multi-million-pound revenue and is profitable. This growth has been delivered against a backdrop of highly challenging macro-economic conditions and our sustained performance against this backdrop is testament to how well our product resonates with our customers.

"We are incredibly proud to have Sosandar clothes now being sold in the UK’s biggest retailers, and we have now built the infrastructure to start serving our target customers internationally.

"While the macro-economic environment remains challenging, and we remain highly vigilant, we continue to demonstrate that our differentiated model is capable of achieving sustained profitable growth. We remain confident in the long-term opportunity for Sosandar, as reflected in Q4 FY23 in the acceleration of our investment in the next stage of our development."