Shares in Ramsdens (RFX:AIM) rallied 3.7% to 182.5p after the jewellery retailer-to-financial services provider said it expects to report first half pre-tax profits of around £2 million and issued an encouraging outlook.

With all segments of its diversified business showing strong recovery from the pandemic, Ramsdens is looking forward ‘with confidence to the key summer trading period ahead’ and remains on track to open eight new stores in this financial year.


Middlebrough-headquartered Ramsdens delivered a strong performance across all four business segments in the first half to March 2022.

Jewellery retail sales were particularly strong, growing more than 50% year on year thanks to investments in stock and improved merchandising.

Elsewhere within the business, foreign currency volumes continued to recover with the easing of international travel restrictions with Ramsdens also maintaining margins through the half.

Investors also took heart from the continued recovery in its pawnbroking loan book, which as of 31 March stood at £7.5 million against £5.7 million a year earlier, reflecting ‘the normalisation of customer spending habits and the growing need for short-term finance’.

Aided by the high gold price, precious metal buying volumes returned to pre-pandemic levels in the month of March.

CEO Peter Kenyon said he was pleased with Ramsdens’ ‘very strong performance’ during a first half marked by ‘the continued easing of restrictions and consumers’ transition to normality.’

He commented: ‘Whilst being mindful of the impact of current macroeconomic events and well publicised inflationary pressures, the board is encouraged by the growing demand for Ramsdens’ services and believes that the strong momentum reported today will continue over the coming months.

‘Demand for Ramsdens’ foreign currency services in particular is expected to grow significantly as more people travel abroad this summer, and we are confident that the group’s ongoing strategic investment in its jewellery proposition will continue to deliver strong results both in store and online.’


Following the update, Liberum Capital maintained its ‘buy’ rating and 196p price target on Ramsdens, noting that its ‘diversified business model and income streams have helped the group navigate through challenging times during the pandemic.

‘The strong performance in jewellery retail coupled with management’s confidence that the strong momentum will continue over the coming months leads us to increase our full year 2022 pre-tax profit estimate by 19% to £6 million.’


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Issue Date: 08 Apr 2022