Surfstitch relies on Swell to integrate all its platforms

By

Sarah Ahssen

Published
Sep 7, 2015

In 2016, Surfstitch, the Australian group specialised in board sports e-commerce, will gradually consolidate its six platforms (Surfstitch.com, Surfdome.com, Swell.com, Stabmag.com, magicseaweed.com and theLens) into the global site Swell. 

It's a risky operation, given that the notoriety of Swell, the name of Surfstitch's North America-based e-commerce site, still needs to be built up in Australia and Europe, the brand's most important market.

Despite this, group CEO Justin Cameron, who last May raised extra finance to fulfil his objectives, underlined: "The power of a unified brand, speaking to all its markets with the same voice, will improve our customers' and our suppliers' experience."

For its 2015 fiscal year, closed on June 30th, Surfstitch reported revenues of €127.1 million (AUS $199.4 million), equivalent to a 30% increase.

Last May the group acquired the specialist media platforms Stab and Magicseaweed, and has grown in all its regions worldwide. In Europe, Surfstitch's sales reached €55.6 million (AUS $87.3 million), equivalent to a 22% rise and accounting for 44% of group sales.

In the Asia-Pacific region, group sales amounted to €52.8 million (AUS $82.9 million), a 44% increase, while the North America region, reaching revenues for €18.5 million (AUS $29.1 million), recorded a 17% rise. 

Despite the costs involved in the integration of Swell, Surfdome and the Magicseaweed and Stab magazines, group EBITDA reached €4.9 million (AUS $7.7 million), leaping up by 51%.