The Works FY19 revenues jump 13.2%

Stationery retailer The Works has reported a 13.2% increase in revenues in its preliminary results for the 52 weeks ended 28 April 2019.

The retailer posted positive like-for-like growth of 3% during the period, driven by growth both in stores and online, and adjusted EBITDA increased by 4.2% to £13.8m. The retailer also opened 50 new stores during the period, taking its total store estate to 497, and said it is on track to deliver another 50 net new store openings in the current year.

It said that underlying like-for-like sales during the first nine weeks of the current year has also improved since the final quarter of last year to +1%, which was achieved against a consumer backdrop that “remains subdued”.

Kevin Keaney, CEO of The Works, said: “In our first year as a listed business, I am pleased that TheWorks.co.uk has achieved good growth, underpinned by our clear strategy and a consistent focus on our customers.

“Opening new stores remains our biggest driver of growth and we have taken advantage of the favourable property market by opening a net 50 new stores in the year. We delivered good like-for-like sales across all channels, as our continued focus on product newness and our nimble buying strategy enabled us to anticipate customer demand for current trends and seasonal ranges.”

He added: “This is a challenging environment, however, it also creates opportunities. The structural shift in the retail sector has resulted in a constant flow of more affordable, good quality retail space. We have a full pipeline of new sites and recent openings have continued to perform well.

“We also have exciting plans for Christmas, the key period in leveraging our differentiated customer proposition, by offering a wide range of new products at outstanding value. This, combined with our other growth levers, makes us confident of making further progress in the current year.”