- Una Brands achieves EBITDA profitability in Q4 2023 amid industry struggles.
- The ecommerce roll-up firm made difficult decisions to reallocate resources and reduce costs.
- Una Brands sees strong potential in Southeast Asia’s e-commerce scene.
Ecommerce roll-up firm Una Brands has achieved EBITDA profitability in the fourth quarter of 2023, despite industry struggles.
CFO Cho Weihao revealed in an interview with Tech in Asia that the company made difficult decisions to reallocate resources towards more profitable initiatives and products and selectively reduce staff costs.
This milestone comes after Una Brands reported a significant increase in net loss in 2022, primarily due to increased distribution, marketing, and administrative expenses.
Company struggles = downsizing
Una Brands works with e-commerce labels based in the Asia-Pacific region, using tech to optimize their identification, product placement, and marketing efforts.
In 2022, the company focused on growth and scaling up operations, acquiring several new brands and expanding them to new markets, including the US and Australia.
However, in 2023, Una Brands shifted its focus to profitability and cost efficiencies, resulting in a workforce reduction of less than 10% in mid-2022. The company aims to continue balancing efficiency while making opportunistic acquisitions.
“Tremendous secular tailwinds”
The labels that Una Brands works with sell across various online platforms, including TikTok Shop, Shopee, Lazada, and Amazon.
In Indonesia, TikTok Shop has become the dominant channel for Una Brands, with the company experiencing a 2x surge in revenue from the platform since its comeback following a ban.
Despite global players showing signs of distress, Una Brands sees “tremendous secular tailwinds” in Southeast Asia’s e-commerce scene, given the region’s population of over 600 million people.
The company’s latest funding was a US$30 million pre-series C round led by Northstar Group in March 2023, boosting its total raise to over US$100 million.
To read the original article: https://www.techinasia.com/ecommerce-roll-up-una-brands-hits-ebitda-profitability
