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Gear4music has revealed that its FY24 revenues and EBITDA are in line with market expectations, with revenues hitting £144.1m for the 12 months ended 31 March 2024.
The music retailer also posted adjusted EBITDA of £9.8m, adjusted profit before tax of £1.3m, and pre-IFRS 16 net debt of £11.6m.
According to the music equipment retailer, its revenue position reflects previously announced FY24 prioritisation of gross margins, profitability and net debt reduction ahead of sales growth.
The group has reduced its net debt “significantly” to £7.3m during the period, down from £14.5m last year.
Gear4music’s planned cost reductions, which were implemented during the second half of FY24, will also support further net debt reduction and profitability improvements.
Andrew Wass, CEO of Gear4music, said: “We are pleased to report that the group’s financial performance during FY24 was in line with market expectations, having delivered both gross margin and profitability improvements.
“We continued to invest into and develop our bespoke e-commerce platform during FY24, improving key areas of our proposition to drive further efficiencies and future profitable growth.”
He added: “The board is confident that the positive impact of the cost reductions made during FY24 will deliver full-year benefits in FY25 and is well positioned to build on the results achieved in FY24 and deliver on our long-term profitable growth strategy.”
At the same time, the retailer has unveiled its board succession plan, which will see non-executive chair, Ken Ford and non-executive director, Dean Murray, step down later this year after their nine-year tenure.
As of Friday 5 July, CEO Andrew Wass will become an executive chair and current CCO Gareth Bevan will step into Wass’ role.
