17 April 2018
Findel plc ("Findel" or "the Group")
Findel, the online value retail and education business, today announces a trading update following the close of its financial year ended 30 March 2018. The Group expects to announce its full year results on 6 June 2018.
The Group's performance is expected to be at the upper end of market expectations(1) driven by strong growth in customers and sales at Express Gifts, particularly during its peak trading period ahead of Christmas. Whilst trading in Q4 was quieter, in part due to changes in marketing activity, the business benefited from stronger collections and recoveries from its credit receivables to contribute towards overall operating profit growth of c.20% for the year as a whole.
The operational turnaround of Findel Education is progressing well, with its core UK brands seeing sales decline narrow to 2% in H2 after a decline of 10% in H1. Around half of sales are now coming through online channels, up sharply from c.18% at the start of the year.
Net debt ended the year at c.£74m, down by c.£7m from the previous year in part due to favourable timing differences, with the outflows from the legacy customer refund programme remaining on track.
Findel plc 0161 303 3465
Phil Maudsley, Group CEO
Stuart Caldwell, Group CFO
Tulchan Communications 020 7353 4200
Notes to Editors
The Findel group contains market leading businesses in the UK home shopping and education supplies markets. It is primarily a retailer and distributor, handling and supplying specialist products manufactured by third parties.
The Group's activities are focused in two main operating segments:
· Express Gifts - one of the largest direct mail order businesses in the UK, primarily trading via the Studio.co.uk brand; and
· Findel Education - the second largest listed independent supplier of resources and equipment (excluding information technology and publishing) to schools in the UK.
(1) The PBT range of consensus market forecasts from analysts for FY18 is £26.0m to £26.5m.
This information is provided by RNS