Wednesday, November 22, 2017

ScS is confident about the future

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Upholstered furniture and floorings retailer ScS has revealed a 13.2% increase of in gross sales. Revenue grew 13.4% year-on-year to £276.7m, whilst gross profit increased by 12.5% to £127m. 

“We are encouraged by our trading performance since the start of the current financial year and we are in line with our expectations,” said Chief Executive David Knight. “However, we remain mindful that we continue to face strong comparatives during the remainder of the first half of the year and that a number of key trading periods are ahead of us.” 

Cautious optimism is certainly appropriate. Since launching in July, 2014, the House of Fraser concessions have generated gross sales of £21.2m, despite initial losses. The company has also opened three new stores, bringing its total estate to 96. 

During the period, ScS launched a new e-commerce platform, along with a bespoke House of Fraser For Living website, and has seen online gross sales rise by 25.4% to £8.4m. In the current market it is likely that the proportion of ScS‘s profits that come from online sales will continue to increase.  

“With a strong brand, broad product range with good consumer appeal, an excellent network of well-invested stores, with an opportunity to expand, from our existing geographic footprint, and growth from the continued development of the House of Fraser concession, the Group has a clear growth strategy. We lo