Rent-to-buy retailer Brighthouse has seen revenues increase by 16.3 per cent to £127.2 million in the six months ending September 30th 2011, it was announced today.
The retailer reported like-for-like revenue growth of 6.7 per cent compared to the same period last year, while EBITDA rose 21.8 per cent to £20.7 million.
Demand for big ticket items such as furniture remains high, although a decrease in disposable income means that fewer families are able to invest in these and so Brighthouse’s offering of household goods for affordable weekly payments is becoming more popular.
During the first half of the group’s financial year, 15 new stores opened, taking the retailer’s store portfolio to 243. The group predicts that it is on track to open a further ten stores before the end of the 2011/2012 financial year.
Pre-Christmas trading remains in line with management expectations, despite high street conditions remaining difficult.
Prime demand items include the Philips and Samsung Smart TV’s the Blackberry Curve 9360 Smartphone, the Acer Iconia Tablet and the Nintendo 3DS, highlighting the increase in consumer interest in technology.
Leo McKee, Brighthouse CEO, said: “In these challenging economic times, our half-year results reflect continuing strong demand for our products and services.
“It is encouraging that both our existing and our new stores are contributing to robust growth. In the current year, BrightHouse will have created some 300 new jobs.”
The retailer, which offers credit and interest rates to lower income consumers, claims that that 84 per cent of its customers would recommend its services to friends and family, while 40 per cent of new customers are referrals from existing customers.
Last month, the Asda Income Tracker found that the average family was £15 per week worse off in September than during the same month last year, as consumers struggle to find the funds for utilities and fuel due to rising inflation.
McKee said that the company will maintain its focus on growth during these unpredictable economic times.
“We will continue to focus on customer service and on extending our footprint across the UK,” he said.
“Our growth will continue to be underpinned by generating cash flow from operations and by a solid balance sheet.”