Wiggle, the leading online retailer of cycling, running, swimming and triathlon products and accessories, has published its financial results for the year ended 1 February 2015.
The company has pointed to a number of financial highlights:
- Sales of £179 million at constant currency up 11.5% on a constant exchange rate (CER) basis (6.7% reported)
- Market share gains in the UK with sales up 26% CER
- Continued progress in Europe with sales up 20.0% CER (12.6% reported)
- Rest of World sales down 13.1% CER (down 21.4% reported)
- Underlying EBITDA (earnings before interest, tax, depreciation and amortisation) of £7m (FY14: £6.0m) up 16.7% at CER
- Reported EBITDA of £7m (FY14: £13.2m) ‘held back by currency headwinds’
- Strong cash conversion at 116% (62%)
In addition, a release from Wiggle cites a number of business highlights:
- ‘Now number one UK, European and global online tri-sports retailer’
- Net Promotor Score (NPS) (measuring customer satisfaction levels) steadily increasing and above a score of 70 across the Wiggle Group and above 80 in the UK
- Strong growth in key territories in local currencies
- Successful move into services with ‘Wiggle Legal’
- Appointment of Giles David as Finance Director in May 2014
Following Wiggle’s financial year end on 1 February 2015, the company appointed Brian McBride as Chairman in March 2015. The company has also made a transition to ‘Citadel’, Wiggle’s new 323,000 square feet centralised warehouse in Birmingham.
The company adds that trading momentum has continued through the first eight months of the current financial year. Wiggle has also added to its services offering with ‘Wiggle Insurance’.
Stefan Barden, CEO of Wiggle, said “Wiggle’s total and relentless focus on customer satisfaction continues to underpin our above market growth rates. We are also working hard to be our branded suppliers’ preferred on-line partner.
“We continue to invest in the business, driving down costs through investment in our new warehouse and also by simplifying our business, reducing the work we do and automating wherever possible. We have many growth opportunities ahead and remain confident in the future performance of the company.”
Wiggle is a leading international online retailer of cycling, running, swimming and triathlon (tri-sports) products and accessories, serving customers in over 70 countries. Wiggle’s mission is ‘to inspire everybody, everywhere, every day to ‘experience the joy of sport’, irrespective of experience or budget.’
Wiggle sells an extensive range of over 50,000 SKUs (stock keeping units) from more than 700 third party brands as well as an increasing range of its own label brands dhb, Verenti and Lifeline.
The management team is headed by Stefan Barden CEO who joined in 2013, formerly CEO of Northern Foods, Heinz UK & Ireland and Brakes UK & Ireland; and Giles David who joined in 2014 as Finance Director, having formerly held the same position at Brighthouse. Brian McBride, Chairman of ASOS plc succeeded Andy Bond as Chairman on 13 April 2015.
Wiggle was acquired by private equity investment company Bridgepoint in December 2011. Although formally founded in Portsmouth in 1999, Wiggle can trace its origins back to a small independent bike shop called Butler Cycles which had been trading in the English city since the 1920s. The company was an early adopter of the internet retail model, with the success of its mail order business, resulting in the change of name to ‘Bikes @ Butlers’ and subsequently to Wiggle. From its cycling roots it expanded into running in 2004 and swimming in 2005, with triathlon a key category for the business in recent years.