The BikeExchange Ltd (ASX: BEX) share price has jumped 9.5% higher today as investors react to Wednesday's strong quarterly result.
Why is the BikeExchange share price rocketing higher?
On Wednesday, BikeExchange provided its March quarterly update for the period ended 31 March 2021 (Q3 2021).
The Aussie online cycling marketplace reported net cash of $18.9 million following a successful $20 million initial public offering (IPO). The BikeExchange share price surged 23% higher upon listing after listing at $0.26 per share.
BikeExchange reported "solid growth" across all sources of revenue in the March quarter highlighted by total transaction value (TTV) up 220% compared to the prior corresponding period (pcp).
A record number of consumer transactions helped spark 142% growth in transaction volume compared to Q3 2020. Notably, active retail accounts were also up from December 2020 numbers.
BikeExchange recorded 7.0 million traffic sessions for the March quarter – an 87% increase on pcp. Yet another highlight was annualised sales enquiry value of over $1.6 billion delivered to retailers. The BikeExchange share price has today rocketed 9.5% higher after also gaining 5% on Thursday.
Global CEO Mark Watkin said, "The Q3 growth has been achieved to date without real deployment of the capital raised". "We're now looking forward to further growth, helping us realise our purpose of making it easy for customers to buy and sell all things bike", he added.
BikeExchange reported look through revenue up 54 to $1.4 million with look through e-commerce commission up 847% versus Q3 2020. Subscription revenue grew month on month with March 2021 revenue up 6% on December 2020 figures.
Foolish takeaway
The BikeExchange share price has been on fire today on the back of the high growth figures. It follows a strategic partnership agreement with Auteco, a Colombian motorcycle assembler and electric vehicle distributor.
The Aussie marketplace also added 5 new employees to the company in line with strong growth. BikeExchange shares remain down from the $0.26 per share listing price despite Friday's gains.
