Card Factory PLC (LSE:CARD) has reinstated dividend payments following a jump in revenue and profitability over the last year.
Revenue increased by 10.3% to £510.9 million in the year to January, the greeting cards retailer reported on Tuesday.
This prompted a 9% rise in pre-tax earnings to £122.6 million, while adjusted pre-tax profit excluding one-off gains jumped 27% to £62.1 million.
Card Factory declared a 4.5p dividend for the year as a result, adding the figure reflected that it was not able to reward shareholders at the interim stage.
“Three years into our 'opening our new future strategy', Card Factory (LSE:CARD) is financially and operationally a much stronger business,” chief executive Darcy Willson-Rymer said.
“This means that we are able to both reinstate the dividend and invest in the future, while effectively navigating the ongoing economic environment.”
Card Factory said a net 26 new shops opened over the year, with growth in card, gift, and celebration sales coming alongside price increases to stave off inflationary pressures.
The company added it was on course to hit a targeted £650 million worth of sales and a 14% profit margin by 2027, with trading this year in line with expectations.