musicMagpie PLC (AIM:MMAG) shares hit a new low as the CD and tech recycler posted lower interim revenues and warned business generally was tough.
Steve Oliver, chief executive, said that the market for second-use technology had become more competitive and the market has “undoubtedly been challenging”.
In the UK, Consumer Technology sales held firm, he said while Disc Media and Books showed "welcome signs of stabilisation".
Revenue dropped to £53.8 million (H1 2023: 61.9m) in the half year to end May 2024 largely due to a change in the US business to sourcing only.
CD and books sales dropped 6% to £19.7 million, though musicMagpie said this was a significant reduction on recent years.
Losses improved slightly to £3 million from £3.2million with net debt up a touch to £13.8 million.
Next developments include a clothing arm to the business, it said, which will see it buy branded garments to sell on its platform
“We have recently launched the buying of branded fashion items on the musicMagpie platform and intend to continue broadening our offering and further unlock the ‘world of inventory’ that sits in consumers’ households.”
Shares fell 24% to 5.5p.