// Quiz’s half-year group revenue declines 5% to £63.3m
// Online revenues grew 7% but UK store & concessions sales dropped 11%
// Quiz says the rate of decline experienced has reduced in recent weeks & they continue to focus on improving stores
Quiz has posted a drop in half-year sales, as “very challenging” high street conditions saw it endure declining footfall and in-store transactions across the UK.
For the half-year period ending September 30, the fashion retailer reported total group revenues of £63.3 million, which was a five per cent year-on-year decline.
Due to a slump in footfall, Quiz said its stores and concessions suffered a sales decline of 11 per cent, coming in at a weaker-than-expected £31.3 million compared to last year’s £35.1 million.
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However, online sales grew seven per cent year-on-year to £20 million, and Quiz’s own website enjoyed a 12 per cent uptick in sales.
Quiz insisted that the rate of decline it experienced on the high street has reduced in recent weeks, and that it continues to focus on improving its stores’ performance.
“The average lease length on our stores remains relatively low at 26 months and we continue to appraise the economics of each store as leases come up for renewal,” the retailer said.
Quiz’s international sales – from stores and concessions in Ireland, Spain and franchise operations in a number of countries – increased three per cent year-on-year to £12 million.
Despite the mixed results, Quiz said the half-year period was broadly in line with the board’s expectations against the backdrop of a difficult UK retail environment.
It added that gross margin for the period was expected to be in line with the board’s expectations at approximately 61 per cent.
“Overall, the group’s trading performance in the first half has been broadly in line with the board’s expectations despite the difficult UK trading environment,” Quiz chief executive Tarak Ramzan said.
“Sales growth through Quiz’s websites has continued, reflecting the investment in our product range and marketing initiatives.
“Whilst trading conditions are expected to remain challenging in the near term, the board remains confident that underpinned by Quiz’s flexible business model and an increasing online focus, the group can return to sustainable profitable growth in the medium term.”
Quiz said it would reveal the full details of its interim results on December 4.