Losses narrow for Merseyside gifting company
Losses have narrowed at Merseyside gifting firm Appreciate Group.
In an update for the six months to 30 September the group said a pre-tax loss of £2m is markedly lower than last year’s £6.2m loss when the group was initially unable to dispatch physical products due to the first lockdown.
This performance was despite £500,000 one off pension reorganisation costs incurred in the first half, and therefore “compares well” to a loss of £1.3m in H1 FY 2020, normal trading prior to the pandemic.
Billings are up 19.6% for the six months to 30 September to £118.2m and were broadly flat compared to H1 FY2020 at £120.2m.
Group revenue increased 49.6% to £41m as the expected deferred redemption was realised as lockdown restrictions eased and customer spending patterns began to return to more normal levels. Revenue was 23.5% higher than H1 FY2020 (£33.2m).
Ian O’Doherty, CEO at Appreciate Group, said: “I am pleased to report a robust performance in the first half of the year, bouncing back strongly from the impact of last year’s lockdowns, and continued progress in delivering on our strategic plans.
“We typically see about a quarter of billings in the first half of the financial year and around three quarters coming in our second half, and I am confident that we will deliver our expectations for the financial year.
“Whilst economic uncertainties remain – particularly from wider supply chain issues and potential rises to the cost of living – we are now in a stronger position to deliver as we are a more efficient business, with an improved digital offering and a platform which is more robust and scalable.”
The group has recommended an interim dividend of 0.6p (H1 FY2021: 0.4p).
