Joules sales and profits rise in latest year as e-tail booms
Joules reported its results for the year to May 30 on Tuesday and talked of a “strong performance underpinned by continued digital growth, the strength of the Joules brand, and increasing diversification of revenue streams”.
Revenue rose 4.3% to £199 million with strong e-commerce sales growth and the contribution from Garden Trading, “more than offsetting the impact of enforced store closures, the cancellation of country shows across the UK and the impact of the pandemic on the group’s wholesale customers”.
E-commerce sales increased by 48% to £122 million, and excluding the acquisition of Garden Trading, e-commerce sales increased by 43%. This growth was led by sales through its own websites and e-commerce made up 77% of retail revenue during the period, up from 56% a year earlier.
So what about its stores and appearances at country shows in a year that saw months of closures and cancellations? Overall store and shows sales were £36.6 million in the year, down from £63.2 million the year before. Its stores were closed for six months of the period compared with two months in the prior year.
Wholesale revenue including Garden Trading, was £35.3 million, a 17% drop year-on-year, “reflecting the ongoing impact of Covid-19 on many of the group’s wholesale partners both in the UK and internationally”.
Other revenue more than doubled to £5.1 million due to “the strong growth of our Friends of Joules digital marketplace and strong performance from several of our licensed product categories and partnerships”.
Pre-tax profit before exceptional costs was £6.1 million after a loss of £3.9 million a year earlier. Statutory profit before tax was £2 million from a loss of £24.8 million, and after tax it was a profit of £0.9 million from a loss of £20.3 million.
CEO Nick Jones said: “It is safe to say that FY21 was characterised by truly unprecedented trading conditions. Against this backdrop, the group delivered strong strategic progress, including growing our digital proposition, increasing our active customer base, and further diversifying as a leading lifestyle platform with the successful acquisition of Garden Trading and the continued expansion of Friends of Joules.”
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