Hi,just found a detailed article in the NY times (23/11/21)...

Hi,
just found a detailed article in the NY times (23/11/21) about Ssense.com.
Ssense.com is not a public company, but it is one the main luxury e-commerce company in the world, with Farfetch and Net a Porter.
They have a large traffic on internet with 16.1 m visits in July, vs 2.6 m for Cettire.
According to what I could find, Ssense has also some shops, but I think that the largest part of their business comes from e-commerce.

Ssense was valued at 4.1 bn $ in June 21, when there was a new investment by Sequoia Capital.
This is to compare with revenues of more than 750 m in 2021.
So, it was valued at around 5.5 x revenues.
This can be compared with a valuation of Cettire which is around 1 x FY 22 revenues now.
My point is not to say that Cettire should be valued the same way, as we do not have any figure about Ssense profitability.
Anyway, it gives an idea of the potential of re-rating for Cettire if it turns successful.

Main points regarding Ssense :
- unlike Cettire, they do not seem to focus on prices, but more on creating an atmosphere through its photo style and making bets by launching emerging designers,
- the NY times article indicates that Ssense is a rare retailer perceived as a brand on its own
- Ssense sell over 70,000 items from more than 700 brands (including Gucci and Prada from 2017).

Another element regarding Cettire's valuation, not related to the elements above : the level of free cash flow.
Interesting to note that, despite the poor level of its EBITDA during H1 22 (adjusted EBITDA of - 9.9 m), it still had large level of positive free cash flow : free cash flow of 8.8 m.
Due to its business model which generates negative working capital. During H1 22, the change of working capital produced 23.4 m of cash.