Findel confident of further improvement as sales climb

FINDEL. the home shopping group behind Kleeneze, sports business Kitbag and Express Gifts, says it is continuing to make “excellent progress” in its recovery plan.

The Tameside-based company said in a trading update for the 16 weeks from March 30 to July 23 , released ahead of its annual meeting, that sales are up 3.9% ahead of the same period last year. and by 5.4% excluding its Far East sourcing operation.

The group said its biggest business, Accrington-based Express Gifts, was continuing to perform strongly with sales up 8%, while recovery is being seen in the Findel Education division, which supplies schools, and where sales are up 9%.

In Kleeneze – which has had a difficult time of late due to staff retention issues in particular – Findel reported some early success.  Sales in the period were 1.4% behind last year, with an improving trend in recent weeks, compared with a decline during the previous year of 8.4%.

Work on the turnaround in Kitbag – which has its HQ in Chadderton –  continues, although sales were 4% below this time last year. Findel said this reflected a strong comparative period for sales and margin, which last year benefited from the UEFA Euro Football Championship, the build-up to the Olympics and “significant football partner on-field success”.

Growth in international markets continues to show promise, with the Kitbag launching 11 international local language sites for partners in the last three months.   

Lookig ahead chairman David Sugden told investors: “Findel continues to make excellent progress with further potential to be delivered in all group companies.  

“At the full-year results in June, the group set a goal of achieving 7 – 9% group operating margin in the medium term.  The strong performances of Express Gifts and Education Supplies support the board’s ambition to enter this range in the financial year commencing April 2014.”