Very Group posts record earnings of £307m despite revenue fall

The Very Group has reported record EBITDA of £307.1m for the 52 weeks ended 28 June 2025, up 15.9% on the previous year, as tighter cost control and a shift towards higher-margin categories offset weaker sales.

The performance saw the group’s adjusted EBITDA margin increase to 14.7%, from 12.5% the year before, the “strongest” in the group’s history.

However, group revenue fell 1.8% to £2.09bn, while Very UK revenue was broadly flat at £1.83bn, down 0.2%.

The online retailer stated that profitability was underpinned by growth in its financial services arm and stronger sales in homeware, where revenue rose 9.9%. 

Toys and beauty also performed well, up 4.3% and 5.2% respectively, although fashion and sports sales declined 3.7% in what the company described as a “heavily discounted” market. Electricals fell 2%, reflecting a tough comparison with the prior year’s gaming launches.

Group gross margin increased by one percentage point to 36.6%, while operating costs fell by £36.4m year-on-year. Costs accounted for 22.3% of revenue, down from 23.2% in the previous year, the lowest ratio on record for the business.

Customer satisfaction improved, with the group achieving its highest-ever net promoter score of 42, up two points.

During the year, the company relaunched its retail media network as Very Media Group to allow brand partners to target customers using its consumer data. It also introduced HelloStudio, a creative content service that uses data-led design and artificial intelligence tools to produce material for internal and external brands.

Additionally, the group said it was nearing completion of a multi-year technology investment programme, which includes moving core systems to the cloud and upgrading its web platform to enhance online performance and support collaboration with technology partners.

Robbie Feather, chief executive, said: “ FY25 was a year of real progress for Very. Despite a challenging economic backdrop, we’re delighted with our performance, driven by our unrelenting focus on improving all aspects of our offer and customer experience. Together with disciplined cost control, we were able to deliver significant earnings growth across the year.

“We also made strong progress against our strategic priorities, completing key milestones in our technology transformation and upgrades to our apps and websites, relaunching Very’s retail media proposition, and launching HelloStudio, our in-house creative agency. We look back at FY25 with pride, and I am confident that we have the right team, strategy and foundations in place to drive our future growth.”