A remarkable turnaround as Very Group returns to profitability amidst pandemic challenges!

  • Very Group’s revenue surpassed £2bn for the first time.
  • The group reported a pre-tax profit of £48m and underlying EBITDA of £264m.
  • Very.co.uk retail sales increased by 10.5% to £1.23bn.
  • Customer base grew by 14.1% to 3.40m.
  • Website visits surged by 28.8% across all channels.
  • Littlewoods’ decline slowed to 8.8% with revenue at £460.9m.
  • The group ended the year with over £200m in cash and reduced net debt by £144m.
  • A strong start to the 2021 financial year with double-digit growth in retail sales.

The Very Group has made headlines by achieving a significant milestone, with its revenue exceeding £2 billion for the first time in its history. The company reported a pre-tax profit of £48 million and an underlying EBITDA of £264 million, despite facing costs related to the coronavirus pandemic. Retail sales from Very.co.uk saw a notable increase of 10.5%, reaching £1.23 billion, while overall revenue from the site rose by 6.8% to £1.59 billion. The customer base also expanded, with Very.co.uk attracting 3.40 million customers, a 14.1% increase from the previous year, contributing to a total group customer growth of 10.6% to 4.48 million. Additionally, website visits surged by 28.8% across all channels. Meanwhile, Littlewoods experienced a slower decline, with revenue dropping by 8.8% to £460.9 million, compared to an 11.3% decline the previous year. The Very Group concluded the year in a strong financial position, boasting a cash balance exceeding £200 million and a reduction in net debt by £144 million. Looking forward, the group has reported a robust start to the 2021 financial year, with retail sales showing double-digit growth. CEO Henry Birch expressed his satisfaction with the results, attributing the success to the dedication of the team and the company’s adaptable business model. He highlighted the launch of Skygate, an automated fulfillment center that enhances order processing efficiency while reducing costs. Despite the unpredictable economic landscape, Birch remains confident that the group’s flexible approach will continue to meet customer needs in the online shopping arena.

Factuality Level: 10
Factuality Justification: The article provides accurate information about The Very Group’s financial performance and growth, including specific numbers and details about their revenue, profit, customer base, and website visits. It also includes quotes from the CEO that support the company’s success during the pandemic and plans for future growth.
Noise Level: 3
Noise Justification: The article provides relevant information about The Very Group’s financial performance and growth during the pandemic, with a focus on their adaptability and resilience. It includes specific numbers and insights into their business model and future plans. However, it lacks in-depth analysis or exploration of broader trends or consequences for other businesses.
Financial Relevance: Yes
Financial Markets Impacted: The Very Group’s financial performance and outlook impact the company’s stock price and may affect related retail stocks.
Financial Rating Justification: The article discusses The Very Group’s return to profitability, revenue growth, and positive outlook for the future, which are relevant to finance and could impact the company’s stock price as well as other retail companies in the market.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the text, and the impact of the financial results reported by The Very Group is considered minor as it is related to the company’s performance during the pandemic.

Reported publicly: www.retailsector.co.uk