Fishing Retailer Struggles with Adverse Trading Conditions
- Angling Direct reports £1.5m net loss in FY results
- Adverse post-Christmas trading due to exceptional flooding
- EBITDA losses increased to £500,000 from £300,000 last year
- 42% increase in store sales to £27.9m compared to £19.7m in 2019
- Like-for-like store growth of 12%
- Group sales increased by 27% to £53.2m from £42m in 2019
- Online sales grew by 14% to £25.3m, up by 8%
- Retailer opened 7 new stores and acquired 3 others
- Covid-19 led to closure of 36 stores
- Online business sees ‘excellent growth’
- Focus on operational efficiencies and international expansion
Fishing tackle and equipment retailer Angling Direct has reported a net loss of £1.5 million in its full-year results, attributing the decline to adverse post-Christmas trading due to exceptional flooding. The retailer also reported EBITDA losses (pre IFRS 16) of £500,000 compared with £300,000 in the same period last year. Despite these challenges, Angling Direct saw a 42% increase in store sales of £27.9 million, compared to £19.7 million in 2019, including like-for-like store growth of 12%. Group sales increased by 27% to £53.2 million, compared with £42 million in 2019, and online sales grew by 14% to £25.3 million compared – up by 8%. During this period, the retailer revealed its store network expanded to 34 sites, including seven new stores and three acquisitions. Executive Chairman Martyn Page said the impact of Covid-19 led to the closure of 36 stores but its online business has seen ‘excellent growth’. He added that they are working on reopening stores safely while focusing on operational efficiencies and international expansion.
Factuality Level: 8
Factuality Justification: The article provides accurate information about Angling Direct’s financial results, store growth, and plans for reopening stores during the pandemic.
Noise Level: 3
Noise Justification: The article provides relevant information about Angling Direct’s financial performance and expansion efforts, as well as the impact of Covid-19 on their business. It also includes quotes from the executive chairman discussing their plans for growth. However, it could benefit from more in-depth analysis or contextualization of the financial results and potential future implications.
Financial Relevance: Yes
Financial Markets Impacted: Angling Direct’s financial performance
Financial Rating Justification: The article discusses the company’s financial results, including net losses, EBITDA, sales growth, and store expansion, which are relevant to its financial performance and impact investors and stakeholders.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the text
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