Image sourced ShutterStock
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Meal delivery service Marley Spoon’s Australian operations turned a profit during quarter two of 2019’s calendar year
  • Marley Spoon signed a $30 million deal with Woolworths earlier this year to help increase its Australian presence
  • Despite the profits in Aus, overall for the quarter the company reported at five million euro loss
  • Marley Spoon’s share price is up 0.78 per cent today, currently sitting at $0.65 per share

Meal delivery service Marley Spoon’s Australian branch turned a profit in the 2019 second quarter.

Earlier in the year, the subscription-based food provider signed a $30 million deal with supermarket giant Woolworths to help increase its Australian presence.

CEO of Marley Spoon Fabian Siegel said achieving “profitability in Australia…and kicking off our strategic partnership with Woolworths…are great achievements by our team, and a testament to the long-term viability of our business model,”

Global revenue saw a 54 per cent increase in comparison to the previous year, with the US leading figures, recording a 91 per cent increase in revenue.

Despite turning a profit among its Australian operations, overall Marley Spoon reported a loss of five million euros for the quarter.

However this is an improvement on quarter one where the company faced a 12 million euro loss.

Gaining new customers and lowering costs are primary focuses for the company, with aims to achieve profitability across the board by 2020.

New technology to assist with quality and labour productivity were introduced at the company’s manufacturing centres in Melbourne and Sydney.

According to Marley Spoon, the new tech will also allow for the introduction of new menu choices and personalisation.

Marley Spoon’s share prices are fractionally up today by 0.78 per cent, currently sitting at $0.65 per share.

MMM by the numbers
More From The Market Herald

" Breville Group (ASX:BRG) to acquire Italian specialty coffee company LELIT

Global coffee and appliance company Breville Group (ASX:BRG) have announced its finalised agreement to fully acquire…

" COVID-19 costs bites into Bega Cheese’s (ASX:BGA) bottom line

COVID-19 related costs have bitten into Bega Cheese's (ASX:BGA) expected earnings for the 2022 financial year.

" Australian Dairy Nutritionals (ASX:AHF) produces first milk powder from infant formula plant

Australian Dairy Nutritionals (ASX:AHF) has successfully produced milk powders at its new infant formula plant in…
The Market Herald Video

" Wide Open Agriculture (ASX:WOA) inks up oat milk distribution deal for Taiwan

Wide Open Agriculture (ASX:WOA) has penned a distribution agreement to sell its Dirty Clean Food oat…