Park Group mulling further European growth
PARK Group, the Christmas hampers to prepaid reward card operator, says it is looking at further growth in the euro zone as it announced higher first half revenues.
Wirral-based Park recently launched its Flexecash product in the Republic of Ireland, and having developed a euro-based system, there are possible opportunities further afield.
Chief executive Chris Houghton told TheBusinessDesk.com: “Yes, it’s something we’re looking at. There is a rewards market across Europe and it’s something we are investigating as there is obviously a big market in the euro.”
Park entered the Irish market in 2011 with its Love2shop vouchers, redeemable at 16 retailers. That business has developed steadily and today the voucher is accepted by more than 40 major retailers in Ireland. The Irish order book for Christmas 2013 is currently 13% above the level of the comparable period last year.
In the six months to the end of September – a period where Park usually generates a loss – customer billings rose 7.7% to £58.8m and revenue increased 3% to £48.4m. Pre-tax losses were broadly flat at £3.m.
Mr Houghton said trading generally this year had been tougher than last, particularly in its consumer business which offers a range of vouchers, hampers and other gift products. He said confidence had been undermined by high street failures last year which had affected the impact of its marketing campaign for Christmas 2013, and orders were down around 2%.
He added: “The business has seen a resilient performance, making good progress in developing the e-commerce side, and we are confident that the outlook and prospects for the business remain positive.”
Park held its interim dividend at 0.55p per share.
