Findel reports continued first half progress

FINDEL, the home shopping and education supply business, says it has made “excellent progress” during its first half, with its largest subsidiary, Express Gifts, leading the way.

The group, which has businesses in Accrington, Chadderton and east Manchester (Hyde and Ashton-Under-Lyne), will report improved first half operating profits in late November when it releases results for the 26 weeks to September 27.

Group sales during the first half were 5.2% ahead of the prior year (6.2% excluding its Far Eastern sourcing operation) leading to an increase in first-half operating profit.  

In Express Gifts sales are 10.8% ahead of the prior year on the back of new product ranges and increased customer numbers, standing the business in good stead in the run-up to the peak Christmas trading period.
 
The group’s Far East sourcing operation has recently changed management at its Indian office and will be opening an office in Shanghai in the coming weeks to supply a broader range of goods to Express Gifts and other group companies.

In door-to-door business Kleeneze,  efforts to stop falling sales are ecline continuing, although comparators to prior year have worsened slightly since our statement of 24 July 2013, with sales for the period down 3.4% on last year.

The company said this was “largely accounted for” by a change in catalogue timing, with a later launch of the Christmas catalogues this year.

Kitbag, which is based in Chadderton and run by experienced sports marketing executive Andy Anson, has seen its sales suffer against strong comparisons last year with the European football championships and the London Olympics boosting sales in 2012.

In addition “poorer comparative on-pitch performance from some key partners” meant that Kitbag sales were 6.9% down on the previous year, sparking higher first half losses.

It was not all negative for Kitbag, with moves to boost international sales, starting to have an impact. A deal to manage online retail operations outside Germany for Champions League runner-up Borussia Dortmund has also been agreed.

In the education  business, recovery is well-underway with first half performance up 8.2% and margins and profits up too.