Independent TV shopping and online business Ideal Shopping Direct (ISD) has today reported its total sales rose 13.5 per cent to £117.3 million in the last financial year.
In the 52 weeks to January 2nd 2011, the owner of TV channels such as Ideal World, Ideal Extra and Create & Craft, saw like-for-like sales grow by 10.9 per cent year-on-year and has posted EBITDA of £8.4 million.
The company, which specialises in craft, gardening and animal care products, runs transactional websites for each of its TV channels and this area has seen the most growth in the year, with online sales increasing 69.8 per cent.
Paul Wright, Chairman of ISD, said: “This is a good set of results that has been delivered in a difficult economic environment. It demonstrates the value of our strategy of moving Ideal Shopping Direct forward to being a multichannel retailer with strong positions in niche product categories.
“During the year internet sales have continued to grow and have now increased by approximately 70 per cent over the last two years.”
Profit-before-tax (PBT) for the full-year period reached £6.7 million, compared to £1.1 million in 2009, and gross margins improved over two per cent to 43.8 per cent during that time.
Several new initiatives were launched by ISD during 2010, including its pets division Animal Bargins and its international wholesale business, whilst gardening products retailer Lead The Good Life was acquired and made PBT of £1.2 million over the year.
Wright continued: “In September, we launched our pets offer Animal Bargains, another new niche area, and good progress has been made in establishing the business in a short time.
“In the second half year we have also seen our first international orders being taken on a wholesale basis for our craft range.”
Despite acknowledging the dangers of the current trading environment, the company’s management remain confident in the group’s flexible business model and have reported that the first 13 weeks of trading in 2011 have been in line with expectations.