'Resilient, profitable and cash generative model'

Moonpig grows subs, peak card volumes

Moonpig: performance since the IPO has been outstanding
Moonpig: subscription offer has brought in at least £2.5m in revenue

Moonpig now has more than 250,000 subscribers to its Moonpig Plus service, and has produced more than 9m personalised greeting cards in its current financial year.

In a trading update issued today (14 March), Moonpig Group said that despite an external environment that “remains challenging” it was on track to achieve expectations for the financial year ending 30 April.

It reported a strong performance at Moonpig with volume growth across peak periods of Christmas, Valentine’s Day and Mother’s Day.

The Moonpig Plus subscription deal costs £9.99 a year and gives subscribers 30% off all the cards they buy.

In January the group introduced a similar deal at its Greetz business in the Netherlands.

CEO Nickyl Raithatha commented: “We are delighted that revenue remains in consistent growth at the Moonpig brand.

“Our continued focus on technology investment means that Moonpig Group is now consistently delivering year-on-year growth in revenue and profit. This is underpinned by our resilient, profitable and cash generative business model, leveraging our unique use of data to drive customer loyalty. “

He said the business was well-positioned to benefit from the long-term structural market shift to online.

Moonpig Group has also agreed a new four-year, committed, multi-currency £180m revolving credit facility with a syndicate of banks.

Its previous £175m term loan and £80m revolving credit facilities have been fully repaid and cancelled.

The new RCF has an initial maturity date of 29 February 2028 with an option to extend by one year, subject to lender approval.