Cardfactory, specialist retailer of greeting cards, gifts and celebration essentials, has announced its preliminary results for the year ending January 31, citing ‘strong strategic progress driving profitable growth’, and a new record trading day
The results report highlights a new record trading day on the Saturday before Mother’s Day (Saturday March 29).
Gross profit was £193.8m (FY24: £184.9m) with, the report added, ”margins broadly maintained vs. FY24, as we successfully mitigated the majority of increased freight costs and a c.10% increase in National Living Wage’’.
The figures reveal that the company has shown strong revenue growth of +6.2% to £542.5 million, with total store revenue up +5.8%.
Like-for-like store revenue grew +3.4% through a combination of range expansion and development, as well as targeted pricing action, while partnerships revenue was up £5.2m, including contributions from new acquisitions in the Republic of Ireland and the US.
Adjusted profit before tax (PBT) shows growth of +6.3% to £66m, ”reflecting disciplined management of operating costs and the benefits of efficiency and productivity programme’’
Adjusted profit before tax (PBT) shows growth of +6.3% to £66m, ”reflecting disciplined management of operating costs and the benefits of efficiency and productivity programme’’.
The company expects to see mid-to-high single-digit percentage increases in Adjusted PBT, with margin in line with FY25 remaining unchanged.
Trading through the first months of the new financial year has also been in line with management expectations.
The company opened more than 32 new stores in the financial year, and a space optimisation programme allowed in-store innovations such as stationery and kids’ zones. It also expanded its gift and celebration essentials offering, including new baby, toys, gift food, balloon and confectionery ranges.
Cardfactory’s partnership programme saw a full rollout to the Aldi UK & Ireland estate completed in September 2024, extension of its partnership with The Reject Shop in Australia, and a first wholesale supply agreement with a nationwide US retailer, initially covering more than 1,100 stores with a curated Christmas card range.
Darcy Willson-Rymer, chief executive officer, commented: ”Our performance in FY25 demonstrates the strength and resilience of cardfactory, and our strategy as we continue to evolve the business into a leading global celebrations group. We delivered strong revenue growth, outperforming the wider celebration occasions market. Further expansion of our store estate, combined with continued development of our gift and celebration essentials categories, were key drivers of our performance.
“We are now halfway into our ‘Opening Our New Future’ growth strategy and I am pleased with what we have achieved across the business. With entry into new markets, including the US, and expansion of existing partnerships, we are reaching more customers, in more locations.
“As we move into FY26, good momentum has continued during our Spring seasons. Despite an uncertain and inflationary backdrop, we remain confident in our ability to deliver mid-to-high single-digit percentage profit growth, underpinned by our strategic focus, our ongoing productivity and efficiency programme, and our strong financial discipline. I want to thank our dedicated colleagues whose passion and focus on helping our customers celebrate life’s moments, continues to drive our success.”