Park Group stays on target
CHRISTMAS hamper firm Park Group has said it is on target to deliver another sound trading performance this year, although its finance income continues to be affected by low interest rates.
The Liverpool-based group, which held its annual general meeting yesterday afternoon, said its Christmas savings business is 6% behind last year in terms of orders, despite its number of agents growing by 6%.
Chairman Peter Johnson said the performance was credible given the economic environment: “The Christmas savings business is holding up well despite the challenging market conditions as customers deal with the financial pressures imposed by the recession.
“This is a long established operation with a large and loyal customer base that appreciates the simplicity of saving each week for Christmas with Park’s instalment plan.”
The group’s corporate voucher business, which generates around 60% of group operating profit, is 8% ahead of the same period last year in terms of sales. New business is up by 30% year on year, with new contract wins due to start later this year.
The internet provides a growing income stream for the group, with online sales having risen by 20% this year.
“We are continuing to invest in Park’s online infrastructure to further improve customer service and operating efficiency as both are essential components of our product offering,” said Mr Johnson.
Pre-tax profits for the full year to March 31 2009 were up 24% from £4.3m to £6.2m. Turnover rose from £225.1m to £250.5m.
