Australia headquartered online retailer MySale has posted a greater half year loss than forecast, with its pre-tax losses for the six months through December reaching A$10.3 million (c£5.5 million) on sales which had fallen by 17 per cent to A$126 million for the period. Sales had however risen in the UK by 10 per cent to A$5.1 million.
MySale cited changes to Australian sales tax rules and downgraded its annual guidance. “First half results reflect the significant challenges faced within the core Australia and new Zealand market, due principally to the impact of changes to the general sales tax legislation for low value eCommerce import transactions,” the business said, adding that it was addressing the challenges by changing its product mix and strategy, including relocating its own-buy inventory to Australia and New Zealand.
“Performance during the first half was disappointing,” said CEO Carl Jackson, “however we took immediate action to address the issues the group faced. The changes to product strategy, while still ongoing, will be completed in the second half of the current financial year and should stabilise revenues ad improve gross margin.”
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