Kitchenware firm’s revenue hit by tough trading conditions
Tough trading conditions has seen revenues remain flat at kitchenware firm ProCook.
The Gloucestershire firm saw a sharp increase in sales as a result of Covid but according to its most recent update that trend has now come to an end.
Total revenue of £15.7m in the second quarter was -1.8% year on year or +0.8% on a continuing business basis.
Like for like revenue was -1.8% in quarter two, with improvements in both Ecommerce and Retail channels compared to quarter one.
The company has also seen a continuation of the shift back towards physical retail stores that it has experienced over the last two years.
The second quarter results reflect a strong summer performance during July and August, aided by considerably more favourable weather year on year.
Trading in September and into early October has been markedly softer, with lower footfall and traffic, and customers increasingly seeking out greater value and promotional offers.
The group typically generates around 60% of full year sales in the second half of the financial year.
However, the board remains cautious with regards to the full year outlook given the highly challenging market conditions which persist, and the current trading volatility and sales trends over recent weeks, with customers seeking more value and taking more time to research before committing to purchase.
Chief executive Lee Tappenden said: “My first few weeks with ProCook have reinforced my appreciation of our unique customer proposition, product quality and service excellence across our business. I am highly excited by the many opportunities we have to further develop our proposition and business in the next chapter ahead of us.
“Trading conditions remain challenging, and we continue to operate in an uncertain consumer and macroeconomic environment. We are focussed on delivering even greater value for our customers throughout the important peak trading period and beyond.
“We continue to build on ProCook’s strong foundations to strengthen our proposition and brand awareness, expand our product range and store portfolio, and invest in the areas that will improve our operational efficiency and capacity. This will leave us well placed to capture the many growth opportunities available to us as trading conditions improve.”
