Quiz revenues remain under pressure as it predicts loss
Highstreet retailer, Quiz, has today announced its trading update for the first half of the year, during the period between 1 April to 31 August 2023.
On 5 July, the group announced its annual results for the year ended 31 March 2023, noting that further to the challenging trading conditions were set to be on the horizon.
Since then, ‘inflationary cost pressures have continued to impact consumer confidence and demand for Quiz's products.’
During H1, there was a 12% decrease in Quiz’s UK store revenues, reflecting the decline in footfall. Currently, the group operates 64 stores in the United Kingdom, this includes three new stores and one closure.
Direct to consumer sales totalled £7.4 million, down from £10 million during the same period in 2022. Sales through third party websites totalled £3.5 million, down from £4.3 million.
International revenues from Irish store and concessions operated by the Group amounted to £2.4 million, dowm from £3 million. Currently, the group operates five stores and 21 international concessions in Ireland, this compares the year prior’s six stores and 17 concessions. Revenues from international franchise partners amounted to £4.4 million.
Looking ahead, Quiz’s Board expects the current trend in revenues to continue during the second half of the financial year. For the fiscal year 2024, the company expects revenues to be lowered by 6-7% from the year prior, which saw £91.7 million in revenues. This will have a knock-on impact on the Group's profitability. With this, there would be an expected loss before taxation of no more than £1.5 million for the year.
The financial statement concluded: "Longer-term, the Board remains confident that QUIZ's product proposition and commitment to providing glamorous looks at value prices will continue to appeal."
