// Cake Box sales rise 50.7% in the year to the end of March
// While sales remain robust, the board remains cautious that current macro conditions will make for a challenging environment
Cake Box posts strong uplifts in full year sales and profit despite an “increasingly challenging economic and trading environment”.
Gross profit was up 45% to £15.8m while the cake retailer saw its revenue rise by 50.7% to £33 million, compared with £21.9m for the previous year.
Its pre-tax profit climbed by 83.3% to £7.7 million and the company’s online sales grew by 41% in the period while the number of franchise stores increased to 185 following 31 new openings.
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Looking forward, the company will invest in further store openings, marketing and “digital capabilities,” according to a statement.
Further to that, the group also said it will invest in senior leadership to improve governance and processes to support a larger franchise estate.
Chief executive Sukh Chamdal said: “Despite a challenging economic and trading environment, we have delivered yet another strong set of results and continue to trade robustly post period end.
“I founded Cake Box at the height of the financial crisis in 2008. These are difficult times for everyone, but as we’ve seen before, the Group’s unique customer and franchisee proposition remains both exciting and enticing. Our people have proven their resilience and commitment through tough times and now is the time for the Cake Box Family of extraordinary entrepreneurs to shine, with support from a bigger, better and more experienced group function.
“The Cake Box family is bigger and more geographically diverse than ever before, and we are serving more customers than ever, with a keen focus on value for money. As I said at the height of the Covid pandemic, there will still be birthdays, marriages and countless moments in our lives to celebrate with a slice of our delicious cake.”
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