High Street

Card Factory swings to £16.4m loss in 2020

Revenue dropped down 36.9% to £285.1m from £451.5m in 2020 as store closures due to lockdown restrictions impacted sales

Card Factory has reported a pre-tax loss of £16.4m for the full-year ending 31 January 2021, down from £65.2m profit the previous year, as the company continued to be affected by the Covid-19 pandemic and ongoing lockdowns.

Revenue plummeted 36.9% to £285.1m in the period, down from £451.5m in 2020, as store closures due to lockdown restrictions impacted sales.

However, the retailer reported “better than expected” reopening performances following the easing of the first two lockdowns.

In addition, the group saw high growth in its online business, with an increase of 135.3% to £11.1m, while its Getting Personal selection was up by 12.2% to £16.5m.

The retailer was also able to agree on new £225m debt facilities with its banking syndicate comprising a £100m revolving credit facility, a £75m term loan facility and £50m Coronavirus Large Business Interruption Loan Scheme facilities.

Darcy Willson-Rymer, CEO, said: “We have successfully reopened our entire store estate following the third lockdown and delivered a reassuring performance in stores, whilst maintaining online momentum.

“Our powerful brand and unique business model means we are well placed to respond positively to the changing retail environment and to unlock the inherent potential in this business.”

She added: “The recent refinancing provides sufficient resources for us to do that by building on our excellent platform to drive future growth.”

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