Moonpig has seen strong growth in sales and profits for the past financial year, driven by accelerated adoption of AI.
While the greetings card retailer encountered struggles earlier this year, its latest results showed a 6.6% increase in revenue, climbing to £341.1m, underpinned by growth in orders and average order value.
Meanwhile, adjusted pre-tax profit increased to £58.2m from a prior £55.4m as stronger trading was offset in part by higher interest charges and the amortisation of technology platform investments.
The retailer’s subscription service, Moonpig Plus, exceeded expectations, gaining more than half a million members within a year.
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The group said its investment in technology such as AI was driving higher customer lifetime value, making it well positioned for future growth.
It added improvements to its AI-driven customer service chatbot had led to a reduction on the number of inquiries requiring human intervention.
CEO Nickyl Raithatha said: “We are delighted that the Group has delivered full-year growth in both revenue and profit, with trading performance strengthening across our peak trading periods in the second half of the year.”
“This has been driven by our multi-year investments in technology and innovation, which continue to foster extraordinary customer loyalty.
“The Moonpig Plus subscription scheme has exceeded our expectations, passing the milestone of half a million members within one year. Our investments in new AI technologies are delivering an increasingly personalised experience for our customers.
“As the clear online leader in greetings cards, Moonpig Group is well positioned to benefit from the long-term structural market shift to online.”
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