London, XX Month XXXX – Online retailer MusicMagpie has announced that its pretax loss for the first half of fiscal 2023 has increased as a result of declining revenue. The company also highlighted the current challenging conditions driven by macroeconomic factors.
Despite these challenges, MusicMagpie reported that the strong momentum experienced in the second quarter has carried over into the early part of the third quarter. The company attributes this sustained momentum to a focus on gross margin and cost savings. As a result, the board expressed confidence in meeting its full-year expectations.
For the six months ending May 31, the company’s pretax loss amounted to £3.2 million ($4.2 million), compared to a loss of £1 million in the same period a year earlier. Revenue also declined, reaching £61.9 million, down from £71.3 million in the previous year. Notably, revenue from MusicMagpie’s consumer technology division, which represents around two-thirds of its total revenue, fell to £41.1 million, down from £46 million in the same period last year.
The company remains optimistic about future profit growth and believes that consumers will increasingly turn to the refurbished tech market, despite the challenging consumer environment. MusicMagpie emphasized its confidence in having the right strategy in place to capitalize on this trend.
As of 0725 GMT, shares in MusicMagpie were down 1.25 pence, or 6.7%, at 17.50 pence.