Joules, the premium British lifestyle brand, today provides a trading update covering the 26-week period to 27 November 2016, which is the first half of the Group’s 2017 financial year (the ‘Period’ or ‘first half’).
Group revenue for the Period increased by 16.2% to £81.4m (H1 FY16: £70.1m), reflecting the brand’s increasing footprint, growing customer base and the strong performance of both new and core ranges across product categories.
Retail revenue increased by 15.8% to £56.7m (H1 FY16: £49.0m), driven by good growth across stores and e-commerce. The Group has continued to expand its retail presence in line with its plans, with the opening of a net 10 new stores during the Period.
Wholesale revenue increased by 17.2% to £24.5m (H1 FY16: £20.9m), as anticipated, given the previously reported growth in the Autumn/Winter 2016 wholesale order-book across all markets. The brand has continued to develop in international markets including expanded product ranges within key US wholesale accounts as well as the launch of Kidswear in a new partnership with a leading US department store.
Gross margin in the Period is anticipated to have increased by approximately 100 basis points against the first half in the prior year, benefitting from a higher proportion of full price sales, enhanced distribution efficiencies, and a favourable product mix within international wholesale sales.
The Group has continued to strengthen its team to support the delivery of the brand’s exciting long term potential. We were delighted to appoint Lysa Hardy as Chief Customer Officer in September 2016, to support the strategic priority of growing customer numbers and enhancing loyalty and value.
Colin Porter, Chief Executive Officer, commented:
“The Group has continued to perform well throughout the first half of the financial year delivering strong growth across all channels. This reflects the strong appeal and quality of our products as well as the appeal of the Joules brand to both new and existing customers.
We look forward with confidence to the second half of the financial year and beyond, despite the uncertain macro-economic outlook. We have seen strong growth in our wholesale order book for Spring/Summer 17 and we are well positioned for the Christmas trading period.”
Joules Group Plc will update on Christmas trading in early January. The group will announce its Interim results for the 26-week period ended 27 November 2016 on Tuesday 31 January 2017.
Hudson Sandler (financial PR)
Tel: +44 (0) 20 7796 4133
Joules is a British, premium lifestyle brand. The Company designs and sells Joules branded clothing, footwear, accessories and homeware and operates a balanced multi-channel proposition which encompasses retail (stores and e-commerce), wholesale and other smaller channels such as country shows and events and licensing.
Joules has 107* UK and ROI stores, a customer database of approximately 2.3 million* customers, an established e-commerce platform and a fast growing international presence. Joules is also a top selling wholesale brand in major UK retailers such as John Lewis and Next Label. In November 2016, Joules won the prestigious “Mainstream Brand of the Year” award at the 2016 Drapers Awards. This followed the business’s recognition as “Fashion Retail Business of the Year”** at the 2015 awards.
The Joules brand is at the heart of the business and encompasses values of “time-off”, heritage, countryside, Britishness, family and fun. These brand values are reflected in the product designs, which are recognisable for their distinctive colours, prints, detail and quality.
* Figures are stated as at 27 November 2016
** £30-£100 million turnover category