Angling Direct PLC (LON:ANG) reported a profit surge in its first half as the fishing tackle retailer highlighted “considerable resilience” in its trading performance for the period.
For the six months ended July 31, 2020, the company posted a pre-tax profit of £1.4mln, up from £0.4mln in the prior year, while revenues jumped 21% to £32.1mln. The group also said sales across all of its channels from June 15, the date its stores re-opened following the coronavirus pandemic lockdown, to the end of the period were up 95%.
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The firm highlighted resilient trading across its stores despite the 12-week closure, with like-for-like (LFL) sales from June 15 to July 31, 2020, up 75% despite a 23% LFL reduction including the lockdown period, while revenues from its online UK and international operations were up 62% and 51%, respectively.
Looking ahead, Angling Direct said that there is now “sufficient visibility” to reinstate its guidance for the current year out-turn, adding that it is currently trading in line with market expectations for the year ending January 31, 2021, with stores and its online operations “proving resilient”.
"The group's first-half performance demonstrates considerable resilience, with strong growth achieved through our online business at a time when [coronavirus] has posed significant challenges. The like-for-like sale growth of our store network since reopening has also been hugely encouraging. Importantly our focus on our core UK and European territories with a refined trading strategy, as well as further enhancements made to customer experience, has lifted margins and driven greater profitability”, Angling Direct executive chairman Martyn Page said in a statement.
“Whilst the broader economic outlook and the risks associated with the ongoing pandemic remain uncertain over the coming months, based on the group's performance so far and its strong start to the second half of the financial year, the board believes it is on track to meet market expectations for the current financial year. With a strong balance sheet we are also well positioned to withstand any further challenges that may arise", he added.