Cettire (ASX:CTT), an online luxury goods platform, has reported profitable growth for the first quarter of FY25, even as global luxury demand softened. Sales revenue rose 22% year-on-year to reach $155m, supported by optimised operating strategies and selective cost management. The company’s adjusted EBITDA climbed to $2m, up by $1.6m from the previous quarter.
Despite softer luxury demand and heightened promotional activity (which involved higher advertising costs) early in the quarter, Cettire improved its margins by adjusting its operational strategies in July and August. This approach led to an adjusted EBITDA margin above 5% by September.
“By adjusting our operating settings throughout July and August, we successfully offset some of the external industry pressures, enabling Cettire to exit the quarter with enhanced profitability,” commented Dean Mintz, Founder and CEO.
Active customers grew by 43% to nearly 700,000, with repeat customers contributing 67% to gross revenue. Additionally, the company’s average order value increased by 6% year-on-year, reflecting greater customer loyalty and higher engagement.
The US market emerged as Cettire’s fastest-growing established region.
Cettire ended the quarter with a net cash balance of $66m.
