Strong Finance Revenue Growth Drives Recovery

  • Very Group’s FY22 revenue surpasses pre-pandemic levels
  • Very revenue up by 12.6% and group revenue up by 4.8% against FY20
  • Full-year Very revenue down 4% to £1.79bn, group revenue down 7.3% to £2.14bn compared to FY21
  • Profit before tax increased 2.2% to £63.9m and EBITDA margin improved by 0.6% to 13.6%
  • Very Finance revenue grew 10.7% to £397.9m
  • Costs as a percentage of revenue fell 1.6% to 23.2% due to diligent cost management

The Very Group, operator of Very and Littlewoods, has reported that its FY22 revenue has surpassed pre-pandemic levels. The company’s Very brand saw a 12.6% increase in revenue, while the group’s overall revenue grew by 4.8% compared to FY20. However, there was a 4% drop in full-year revenue for Very to £1.79bn and a 7.3% decrease in group revenue to £2.14bn compared to its best-performing year in FY21. Despite these declines, profit before tax increased by 2.2% to £63.9m and the underlying EBITDA margin improved by 0.6% to 13.6%. The group attributes this strong performance to its integrated business model and cost management strategies. Chief Financial Officer Ben Fletcher expressed confidence in the company’s ability to navigate economic challenges, citing its multicategory online retail and flexible payment options.

Factuality Level: 8
Factuality Justification: The article provides accurate information about The Very Group’s financial performance and includes quotes from a company executive. It presents facts and figures related to revenue growth, profit before tax, and cost management without any sensationalism or personal opinions.
Noise Level: 3
Noise Justification: The article provides relevant information about The Very Group’s financial performance and highlights its revenue growth compared to pre-pandemic levels and FY21. It also mentions cost management efforts and the company’s confidence in its business model. However, it lacks a deeper analysis of long-term trends or consequences of decisions on those who bear the risks.
Financial Relevance: Yes
Financial Markets Impacted: The Very Group’s financial performance impacts its own stock value and may have indirect effects on related retail stocks.
Financial Rating Justification: This article discusses the financial results of The Very Group, including revenue growth and profit before tax, which are relevant to finance. Additionally, it mentions the impact of inflationary pressures on the company’s operations, which can affect stock values in the retail sector.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the article

Reported publicly: www.retailsector.co.uk