ATG cheers shift to online bidding as sales soar

The boss of Auction Technology Group today said the shift to online looks to be here to stay as the newly-listed firm reported soaring revenues.

ATG, the Antiques Trade Gazette owner behind the site made famous by the BBC’s Bargain Hunt show, floated valued at around £600 million in February and today has a market cap of nearly £1 billion.

In its maiden report as a listed company the group, whose technology connects over 2000 auction houses to bidders from over 150 countries, said it saw aggregate revenues up 48% to £34.5 million in the half year to April. ATG held 64 million sessions, up 35% year-on-year "driven by the increasing appeal of the online channel".

High profile lots sold included a Steve Jobs job application, which was snapped up for £162,000, and a first edition of Harry Potter and the Philosopher's Stone, which went for £17,000.

Chief executive John-Paul Savant said highlighted the fact that around 80% of the firm's business is based in the US, where in-person auctions have been possible through the period, and said: "Auctioneers are staying online, bidders are staying online, and now even as the vaccine rolls out we're not seeing a real retrenchment... Right now all the indications are good, and we are also investing steadily to make that [being online] even more attractive to people."

Savant said that being a listed company is helping convey the message that ATG "is the professional choice" in the sector as it "moves structurally online".

He said: "This whole industry is very fragmented and it is going through a consolidation. Because it is moving structurally online, there is more need for a structural provider.

"What becoming public has done is really highlight to the industry that we are going to be here for the long term... we're being held to a public level of accountability and in terms of our strategy."

The group reported a pre-tax loss of £22.6 million, which it said was due to IPO costs and share-based compensations. The firm had £14.5million of free cash flow in the period and net cash of £6.1 million.

ATG's board said that despite current trading exceeding expectations, "we remain mindful that we have yet to lap the very strong COVID-19 comparators" and so stuck to current FY22 outlook.

Shares were up 6.4% on Wednesday morning.