MusicMagpie bounces back from slow first half after record Black Friday sales

The firm also said it expects EBITDA to rise 15.4 per cent on last year, up to £7.5 million.

Steve Oliver, chief executive officer & co-founder of musicMagpie, said: "We are pleased with the performance of the Group in the second half of the year, and are delighted that our focus on profits and cash has delivered significant EBITDA growth.

“Our strategy of proactively managing the number of active Rental subscribers has also helped in this regard and will support our short-term objectives on profits and cash into 2024, bolstered by an enhanced Buy Now Pay Later offering. I remain confident in the business and our ability to navigate the difficult external market conditions.”

In November, musicMagpie announced that it had held preliminary talks with BT and private equity firm Auerlius Group in regards to a potential takeover. Neither business, however, chose to put in an offer for the firm. musicMagpie said it was continuing to seek a potential buyer.

In its latest announcement, the firm said that consumer technology revenues for the second half of the year were up 7.5 per cent over the same second half period in 2022, falling at £95.4 million for the year. Overall gross margin was up 27.7 per cent.

The number of active rental subscribers also grew by 21 per cent in the year for the firm, reaching 37,100 as at 30 November 2023. Total Rental revenue for the period was up 57 per cent, landing at £8.3 million. The firm announced that new debt was £13.1 million as of 30 November.