Stockport consumer electronics etailer musicMagpie company has succesfully cut its pre-tax losses for the year to November 30, 2022, despite a slight dip in revenue on the previous year.
Losses were £1.4m for the period down from the £14.8m during the previous year, while net debt rose from £1.8m to £7.9m. Revenues for the period were almost static, at £145.2m compared to £145.5m the previous year.
musicMagpie had last year predicted a rise in its rental revenues given the challenging economic climate, and this proved prescient, with rental subscribers growing from 13,500 to 30,500 over the financial year, and to 36,000 at February 28, 2023.
It added that its consumer technology revenue increased by 12.2 per cent to £96.6m, representing 66 per cent of total revenue, while revenue from disc media and books fell from £59.5m to £48.7m.
Chief executive and co-founder Steve Oliver said: “In common with many consumer-facing businesses, this has been a tough year for musicMagpie in the face of a rapidly changing macroeconomic environment.
“However, against this backdrop I am delighted with the performance of our core consumer technology business, which grew by over 12 per cent and now accounts for nearly 70 per cent of our total revenue.”
He added: “While the short-term outlook continues to be challenging, we believe our ability to help consumers raise cash and save money positions us well for resilient trading. In the longer term, we remain very confident in musicMagpie’s future prospects – and especially those of our rental business.”