Store Sales Up, Online Sales Decline, CEO Praises Team Resilience
- The Works reports a 6.1% increase in total sales to £316.6m in FY23
- Store like-for-like sales increased by 7.5% and online sales declined by 15.0%
- Overall like-for-like sales growth of 4.2% since January update
- Online sales dropped by 12.5%, but overall like-for-like sales up 9.3% in the period
- FY22 comparatives weakened due to cyber security incident impact
- Adjusted EBITDA for FY23 and FY24 expected to be £9m and £10m respectively
- CEO Gavin Peck praises colleagues’ commitment and progress in challenging conditions
The Works has reported a 6.1% increase in total sales to £316.6m for FY23 compared to £298.4m in FY22. Store like-for-like sales increased by 7.5%, while online sales declined by 15.0%. Despite the decline, overall like-for-like sales grew by 4.2% since the previous update in January. The retailer’s online sales dropped by 12.5% but showed a 9.3% increase during this period. The company attributes FY22 comparatives’ weakness to the aftermath of the March 2022 cyber security incident. It expects Adjusted EBITDA for FY23 and FY24 to be in line with market forecasts at £9m and £10m, respectively. CEO Gavin Peck commends team’s dedication amidst difficult conditions.
Factuality Level: 10
Factuality Justification: The article provides accurate information about The Works’ sales performance, including specific figures and comparisons between different periods. It also includes a statement from the CEO of the company, Gavin Peck, which adds credibility to the report.
Noise Level: 4
Noise Justification: The article provides relevant information about The Works’ financial performance and offers insights into its sales growth and challenges faced during FY23. It also includes a statement from the CEO, Gavin Peck, which adds credibility to the report. However, it could benefit from more analysis or context on the factors contributing to the online sales decline and potential solutions for improvement.
Financial Relevance: Yes
Financial Markets Impacted: The Works’ sales and financial performance impact its stock price and investor sentiment.
Financial Rating Justification: The article discusses the company’s financial performance, including sales growth, Adjusted EBITDA expectations, and the CEO’s comments on the business outlook. This information is relevant to investors and can affect the company’s stock price and market sentiment.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: The extreme event mentioned was a cyber security incident, which had an impact on the company’s online sales and financial performance but did not cause any major damage or consequences beyond the business level.
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