Inspecs sees revenue rocket in 2021
The company saw group revenue rise 420% on 2020 to approximately £205.8 million
15 July 2022
Inspecs Group saw a significant increase in revenue and gross profit in 2021, citing “strategic investments” and organic growth for the momentum.
Reporting final financial results for the year ended 31 December 2021, Inspecs revealed a group revenue of $246.5 million (approximately £205.8 million at current exchange rates), an increase of 420% on 2020 ($47.4 million, or £39.5 million).
Adjusted underlying EBITDA (earnings before interest, taxes, depreciation, and amortization - a measure of profitability) increased by 376% to $27.6 million (£23.0 million), while gross profit jumped 464% from $20.5 million (£17.1 million) in 2020 to $115.8 million (£96.6 million) in 2021.
Commenting on the results, Robin Totterman, CEO of Inspecs, said: “2021 marked another successful year for Inspecs as we continued to gain momentum through our proven vertically-integrated business model.”
Totterman noted that, though “not immune” to global supply chain challenges and pandemic lockdowns, the company was able to navigate the market conditions.
“Our ability to more than double our revenue, EBITDA and gross profit in the year is a reflection of our continued strategic investments in the period, coupled with organic growth,” Totterman said.
In 2021, Inspecs acquired EGO Eyewear and its subsidiaries, and BoDe Design, which distributes primarily in the German and Austrian markets. Inspecs also purchased the licences, rights and trademarks of the British fashion brand, Hardy Amies.
These acquisitions helped to diversify Inspecs’ brand portfolio and widen distribution, along with the introduction of two new in-house brands. Inspecs now has over 50 brands within its portfolio.
Discussing environmental goals, Totterman confirmed: “Our commitment to sustainability has been integral to the business.”
This can be seen in the launch of the eco-friendly Botaniq range, he said, as well as investments in technologies to explore new sustainable products.
The company also made investments in manufacturing during 2021, including completing the construction and fit-out of Norville’s new lens-making facility in Gloucester, which is now fully operational.
Operations in Vietnam were expanded with a second plant, increasing supply by 72% from 2.18 million to 3.75 million units. Manufacturing was increased in both Vietnam and China.
Overall, the number of eyewear units sold globally increased 112% to 10.4 million.
Looking ahead, the company has advanced plans to build a new factory in Portugal.
“Despite the current macro-environment, we are fortunate to be operating in a resilient market and I am pleased to report that we experienced strong trading in the first three months of the FY22 fiscal year,” Totterman said. “The significant progress we are making proves that our growth strategy is the right one, and I am confident that we will continue to deliver shareholder value in the long term,” he added.