Hut Group grows sales by 70%
THE Hut Group, the online retailer of entertainment, gift and beauty products, reported a 70% increase in turnover to £87m in 2010.
The Northwich-based company said that the bulk of the growth had been achieved organically and came through its own sites as opposed to partner sites for retailers such as Tesco and Asda.
It added that the fastest growth emanated from new categories such as fashion, gifts and health & beauty. Sales of non-entertainment products were up 600% in 2010. It also finished the year with net cash of £9m.
“2010 has been a transformational year for the Group,” said chief executive Matthew Moulding.
“We have been fortunate in significantly strengthening both the management team and the shareholder base during 2010, providing the platform to deliver substantial growth in a demanding consumer environment.
The firm raised £32.5m from institutional funds including Artemis, Balderton Capital and William Currie Group. New chairman Angus Monro has also personally invested in the business.
“The growth in our product offering over the last 12 months means we start 2011 with a strong and unique proposition,” said Moulding.
The firm also reported a busy Christmas trading period, including the strongest sales day in its history when it took £1.8m on a single day. It finished the year with a database of 6m customers – up from 2m in the previous year.
