// Card Factory profits triple boosted by a strong performance of store-based sales
// Pre-tax profits for the retailer rose to £52.4m in the 12 months to 31 January, up from £11.1m the year before
Card Factory profits have more than tripled thanks to shoppers returning to stores and a strong golden quarter.
The greeting cards retailer’s pre-tax profits skyrocketed 368.5% to £52.4m in the 12 months to 31 January, up from £11.1m the year before. The figure includes a £3.5m one-off benefit.
Sales surged 27.1% to £463.4m which was “underpinned by a strong performance of store-based sales and Everyday card ranges, alongside strong trading through the Christmas season”.
Subscribe to Retail Gazette for free
Sign up here to get the latest news straight into your inbox each morning
Store sales grew 7.6% on a like-for-like basis, which the retailer attributed to the success of new ranges and implementation of its targeted price increases.
Meanwhile, online sales dropped 18.8% due to customers favouring physical stores and the impact of the Royal Mail strikes during the Christmas trading period.
Chief executive Darcy Willson-Rymer said: “I have been incredibly pleased with our performance this year which has been ahead of expectations.
“These strong results reflect positive momentum across the business, including notable progress on our strategic growth initiatives, buoyed by the marked shift of customer spend back towards the high street.
Willson-Rymer said the proactive measures put in place to manage inflationary pressures has underpinned the positive progress of the retailer’s strategic priorities.
“Whilst remaining mindful of the ongoing impact of the cost of living crisis on our customers, we are confident that we are well positioned to make good progress in our transition to becoming the market leading omnichannel retailer of cards and gifts.”
Click here to sign up to Retail Gazette‘s free daily email newsletter
