UK’s Largest Bathroom Retailer Consolidates Position Amidst Challenges

  • Victorian Plumbing to close Victoria Plum after £2m loss
  • Revenue up 4% despite acquisition setback
  • Robust customer demand drives 10% growth in order volume
  • Own brand ranges resonate with customers, increasing profitability
  • New distribution center operational in Lancashire
  • Expected to handle all orders by year-end

Victorian Plumbing has announced plans to close its rival Victoria Plum, which it acquired in May, after suffering a nearly £2m loss since the purchase. The retailer expects adjusted EBITDA for the year ending September to meet expectations, driven by strong customer demand and a 10% growth in order volume, surpassing 1 million orders – a record for the bathroom specialist. Despite a 1% drop in like-for-like revenue when excluding Victoria Plum’s acquisition, the retailer has seen revenue rise by 4%. The company attributes this to its own brand ranges resonating with customers and consolidating its position as the UK’s number one bathroom retailer. Victorian Plumbing CEO Mark Radcliffe said that the decision to close Victoria Plum provides a significant opportunity for growth and investment in their brand and marketing. A new 544,000 sq ft semi-automated distribution center in Lancashire is now operational, with more than half of daily orders being dispatched from the site, expected to handle all orders by year’s end.

Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about Victorian Plumbing’s decision to close Victoria Plum, the reasons behind it, and the company’s performance in other areas such as revenue growth and expansion plans. It also includes quotes from the CEO, Mark Radcliffe, which adds credibility to the report.
Noise Level: 3
Noise Justification: The article provides relevant information about Victorian Plumbing’s decision to close Victoria Plum and its impact on the company’s performance, as well as highlights the growth in orders and the new distribution center. It also mentions the CEO’s perspective on the situation. However, it could provide more context on the reasons behind the loss from Victoria Plum and the implications for employees, as well as offer a comparison with other retailers facing similar challenges.
Financial Relevance: Yes
Financial Markets Impacted: No
Financial Rating Justification: The article discusses financial topics such as the nearly £2m loss from the acquisition of Victoria Plum and the expected adjusted EBITDA for the year ending September. It also mentions revenue growth, gross margin gains, and investment in technology and operations. However, it does not mention any specific financial markets or companies being impacted.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event is mentioned in the text and it did not happen in the last 48 hours

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