The Marley Spoon AG (ASX: MMM) share price is rallying today. Despite no market-sensitive updates, the company did release its results from the quarter ended 30 June 2022.
At the time of writing, the ASX share is trading 12% higher at 27 cents apiece having blown off an intraday high of 30.5 cents.
Marley Soon share price rallies following quarterly
Key takeouts from the quarter include:
- Q2 2022 net revenue at $158 million, +35% growth year-over-year
- H1 2022 net revenue of $308 million, +34% growth year-over-year (+26% growth in constant currency)
- Global Contribution Margin in Q2 at 27.2%, a 50 basis point improvement over the prior
corresponding period (PCP) - Q2 Operating EBITDA loss of $4.37 million
- Operating Cash Flow at negative $7.72 million and quarter end cash balance of $42 million
- On track to deliver full year 2022 guidance
What else happened this quarter for Marley Spoon?
The company says that it successfully executed its "three-pillar growth strategy" during the quarter.
This included investment in growing active subscribers, growing basket size and complementing the meal kit business.
Active subscribers grew 13% in the quarter to 309,000 nearly the same level of growth seen in Q1 2022, whereas basket size grew 23% year on year.
Overall, net revenue for Q2 2022 grew 35% year on year leading to an operating EBITDA loss of around $4.4 million, however the company is on track to deliver its full year guidance.
Management commentary
Speaking on the results, Marley Spoon CEO, Fabian Siegel said:
In the second quarter we continued to see good growth that was driven by the successful execution of all three pillars of our growth strategy. We continue to acquire subscribers at attractive unit economics, we have increased average order volumes by expanding our offering to our customers and revenue from our newly acquired ready-to-heat business, Chefgood, further drives growth of our Australian segment.
While the business is growing healthily, we were also able to keep margins stable year-over-year,
offsetting operational headwinds and inflation.
What's next for Marley Spoon?
Marley Spoon expects further challenges from inflation and supply chain volatility. It reaffirms full-year guidance of "mid-to-high teens YoY net revenue organic growth plus full year contribution from Chefgood; Contribution Margin in-line with 2021 [and]; Operating EBITDA better than [$21 million]".
Marley Spoon is down more than 90% in the past 12 months.
