Shoe Zone reports revenue of £69.9m in H1 2022
Shoe Zone has revealed a 73% increase in revenues in its interim results for the 26 weeks to 2 April 2022, reaching £69.9 million.
The last full year saw the business return quickly to profitability and become debt free again. Trading in the period has continued to be positive as the company builds on its strategy announced in October last year.
- Profit before tax stood at £3.1 million for the period, compared to a £2.6 million loss in 2021.
- Stores revenues reached £58.1 million, up from £22.8 million in the same period last year.
- Digital revenues were £11.8 million, dropping from £17.6 million, a reduction to a more normalised position due to the store closures and lockdowns last year.
- The company currently has a net cash balance of £13.9 million, up from £4.1m in 2021.
The business ended the 26 week period trading out of 388 stores, having closed 30 'original' format stores, in line with the strategy previously announced. Shoe Zone also opened 8 stores in its 'hybrid' format, bringing its store total to 308 'original', 45 'big box' and 35 'hybrid' locations.
In a statement, Shoe Zone said: "We are accelerating store relocations, refits and infrastructure changes at our head office, and further investment in digital. All of these areas are key to progressing our strategy and we will commit to spending at least 3% of turnover annually on capital projects.
"Part of the success of our digital operation is our very efficient returns process which is complemented by our extensive network of stores. We have a returns rate of 10.9% and the vast majority of these are returned to store, hence why our physical store network is critical to our future success."