These ASX shares are growing rapidly in FY 2021

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A man drawing an arrow on a growth chart, indicating a surging share price

While the pandemic has stifled the growth of a number of companies such as A2 Milk Company Ltd (ASX: A2M) and Appen Ltd (ASX: APX) this year, not all companies have been impacted.

In fact, the two companies listed below continue to go from strength to strength and are on course to deliver very strong results in FY 2021. Here’s what you need to know:

Kogan.com Ltd (ASX: KGN)

This ecommerce company has been a very strong performer in FY 2021 thanks to the shift to online shopping.

At its annual general meeting in November, Kogan revealed that its gross sales for the first four months of FY 2021 are up 99.8% on the prior corresponding period. Pleasingly, its margins have been expanding, leading to gross profit growth of 131.7% and earnings before interest, tax, depreciation and amortisation (EBITDA) growth of 268.8%.

Also growing in FY 2021 has been its customer numbers. At the end of October, Kogan had 2,682,000 active customers. This is up 9% since the end of August.

Temple & Webster Group Ltd (ASX: TPW)

Fellow ecommerce company Temple & Webster has also been growing strongly.

The online homewares and furniture retailer delivered a very strong result in FY 2020 and has followed this up with stellar growth so far in the new financial year.

As of 19 October, Temple & Webster’s revenue was up 138% on the prior corresponding period.  Furthermore, this strong top line growth led to its EBITDA coming in at $8.6 million for the first quarter. This is more than the entire EBITDA it generated in FY 2020.

All in all, this appears to have positioned the company to deliver another impressive result in FY 2021. In light of this, it won’t come as a surprise to learn that the Temple & Webster share price is up over 300% since this time last year.

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James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Appen Ltd, Kogan.com ltd, and Temple & Webster Group Ltd. The Motley Fool Australia owns shares of and has recommended A2 Milk. The Motley Fool Australia has recommended Kogan.com ltd and Temple & Webster Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post These ASX shares are growing rapidly in FY 2021 appeared first on The Motley Fool Australia.

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