Joules sales up by 4.3% underpinned by strong digital performance
Joules has posted group revenue up 4.3% in the year to 30 May 2021 as digital sales soared during the pandemic.
The British fashion and lifestyle retailer achieved revenues of £199m (FY20: £190.8m) with strong e-commerce sales growth and the contribution from new acquisition Garden Trading, more than offsetting the impact of enforced store closures.
E-commerce sales increased by 48% to £122m and excluding the contribution from home and garden retailer, acquired in February, they were up 43%.
Overall store and shows sales were £36.6m in the year (FY20: £63.2m). This performance reflected the forced closure of non-essential retail stores, and cancellation of shows and events as a result of COVID-19. During the fiscal year Joules stores were closed for approximately six months compared with two months in the prior year.
Wholesale revenue, including Garden Trading, was £35.3 million, a 17% reduction year-on-year (FY20: £42.7m), reflecting the ongoing impact of COVID-19 on many of its wholesale partners both in the UK and internationally.
"Other revenue" doubled to £5.1 m reflecting the strong performance of the Friends of Joules digital marketplace and licensing deals.
The company also managed to convert last year's loss of £3.9m into a profit before tax and exceptional items of £6.1m. Exceptional costs in the period totalled £4.2m (FY20: £21.0m) including a £2.9m (FY20: £20.5 million) non-cash impairment charge, £0.6m (FY20: nil) Garden Trading acquisition costs and £0.7m (FY20: £0.5m) restructuring costs.
Statutory profit before tax was £2m (FY20: loss of £24.8m) while statutory profit after tax was £0.9m (FY20: loss of 20.3m).
Joules 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.
"At the centre of our growth strategy remains the strong Joules brand. During the year we continued to deliver on our brand’s clear mission and purpose – to brighten our customers’ lives and conduct business in a responsible way. As more and more consumers increasingly valued their leisure time spent outdoors and time doing the things they enjoy with the people they love, our brand has become increasingly relevant to a greater number of customers, reflected by brand health metrics reaching all-time highs."
The group said it had 1.7m active customers during the period.