Wilkinson Hardware Stores (Wilko) saw its total sales drop 7.3% and £107.2m year-on-year from £1.47bn in FY20 to £1.36bn in FY21.
Despite the fall in total sales, the homewares and household goods retailer’s EBITDA held steady for the 12 months ended 30 January 2021, declining from £48.5m to £48.3m.
The group attributed the fall in sales to “a reduction in footfall throughout the pandemic”, as its shopping centre and high street stores faced a 40% decrease in footfall following the March 2020 lockdown.
Following a shift in consumer behaviour, Wilko claimed that its digital business increased by 89% through the period, and delivered a positive EBITDA.
In response to the “increased demand through this channel” the group said that it is in the process of “developing a revised omnichannel model”.
Wilko increased its closing cash throughout the financial year from £94.1m in FY20 to £107.9m in FY21.
However, the retailer saw its site portfolio decline by two to 414, as one new store opened while three existing shops closed.
Looking ahead, the group said that it “remains committed to investing in its future”, following capital additions of £31.8m in FY20.
It said: “The group has strong plans in place to continuously improve the customer proposition, operating model and cash management in 2021 and beyond, with a long-term growth mindset towards delivery of the group’s 2030 vision.”