REG - Quiz PLC - Trading Update

QuizAnnouncement

17/01/2023 07:01

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RNS Number : 8866M  Quiz PLC  17 January 2023

 

 

 

 

17 January 2023

QUIZ Plc

("QUIZ" or the "Group")

 

Christmas Trading Update

 

11% sales growth in December reflects strong consumer demand for QUIZ's
renowned dressy occasionwear

 

QUIZ, the omni-channel fashion brand, is pleased to announce an update on
trading for the period between 1 December 2022 to 31 December 2022 ("the
Period") and its current cash position.

Trading Update

Revenues from each of the Group's channels were as follows:

                                         I December to 31 December 2022  I December to 31 December 2021  Period-on-period change
 UK stores and concessions               £6.2m                           £5.2m                           +19%
 Sales via QUIZ website                  £1.3m                           £1.3m                           +2%
 Sales via third party websites          £0.5m                           £0.8m                           -35%
 Online                                  £1.8m                           £2.1m                           -14%
 International                           £1.8m                           £1.5m                           +20%
 Total                                   £9.8m                           £8.8m                           +11%

Total Group sales in the Period increased by 11%, or £1.0m, year on year to
£9.8m. This performance reflected strong customer demand for QUIZ's trademark
dressy occasionwear in the first Christmas period in three years not impacted
by COVID-19 related social restrictions. The stronger demand helped offset
slightly weaker than anticipated revenues in the weeks prior to the Period and
contributed to a 3% increase in revenues in the three months to 31 December
2022, which was in line with the Board's expectations. As a result, Group
revenues in the nine months to 31 December 2022 totalled £75.2 million,
representing a 23% increase on the £61.0 million generated in the equivalent
period in the previous year.

The Group is pleased with the gross margins generated during the Period which
are consistent with those generated in the same period in 2019, prior to the
impact of COVID-19.

Sales Growth in the Period was driven by a 19% increase in revenues generated
across QUIZ's UK store and concession portfolio to £6.2m. These revenues
reflect strong like-for-like growth on the sales generated in the prior year
and in 2019.

Online revenues decreased 14% to £1.8m with sales through QUIZ's own website
consistent with the previous year and in-line with Board's expectations.
Traffic to the QUIZ website and the key online operational metrics were also
consistent with the previous year. The decline in online revenues through
third-party websites was anticipated and in-line with the Group's strategic
focus on growing sales through its own website.

International revenues, which comprise five stores and 18 concessions in
Ireland and international franchise partners, increased 20% to £1.8m.
Consistent with the Group's other revenue channels, the Board remains
confident in the QUIZ brand's potential for long-term international growth and
continues to pursue opportunities in line with its strategy.

Cash Position

As at 16 January 2023, the Group had total liquidity headroom of £12.7
million, being a cash balance of £9.2 million and £3.5 million of undrawn
bank facilities (31 March 2022: £6.5 million, being cash net of borrowings of
£4.4 million and £2.1 million of unutilised bank facilities).

The Group's £3.5m of bank facilities available will expire in June 2023.
There are no financial covenants applicable to these facilities.

Outlook

The Board is encouraged by the positive performance delivered during the
Period which again highlights the strength and awareness of the QUIZ brand and
growing customer demand for its trademark dressy and occasionwear offering.
However, the Board recognises that current macroeconomic pressures may impact
consumer demand across the sector. Notwithstanding this, the Board remains
confident it will deliver profits for the full year to 31 March 2023 at least
in line with its expectations and is well positioned to achieve further
profitable revenue growth in the longer term.

Tarak Ramzan, CEO of QUIZ, commented:

"We are pleased with the strong consumer demand for QUIZ and the Group's sales
performance during the important Christmas trading period. This again
reflected the benefits of our omnichannel model as well as the QUIZ brand's
outstanding reputation for delivering glamorous occasionwear as great value.

"Whilst the wider trading environment is expected to be challenging over the
coming months, we are confident that QUIZ is well positioned to deliver a
performance at least in line with the Board's expectations in the current
financial year."

Enquiries:

 

 QUIZ plc                                  Via Hudson Sandler
 Tarak Ramzan, Chief Executive Officer

 Gerry Sweeney, Chief Financial Officer

 Sheraz Ramzan, Chief Commercial Officer

 Panmure Gordon                            +44 (0) 207 886 2500

 (Nominated Adviser and Sole Broker)

 Alina Vaskina (Corporate Finance)

 Rupert Dearden (Corporate Broking)

 Hudson Sandler LLP (Public Relations)     +44 (0) 207 796 4133
 Alex Brennan / Ben Wilson                 quiz@hudsonsandler.com (mailto:quiz@hudsonsandler.com)

 

Notes:

This announcement contains inside information for the purposes of Article 7 of
Regulation (EU) No 596/2014 as it forms part of UK domestic law by virtue of
the European Union (Withdrawal) Act 2018 ("MAR").

 

About QUIZ:

QUIZ is an omni-channel fashion brand, specialising in occasion wear and
dressy casual wear. QUIZ delivers a distinct proposition that empowers its
fashion forward customers to stand out from the crowd.

 

QUIZ's buying and design teams constantly develop its own product lines,
ensuring the latest glamorous looks at value prices. This fast, flexible
supply chain, together with the winning formula of style, quality, value and
speed-to-market has enabled QUIZ to grow rapidly into an international brand
with stores, concessions, franchise stores, wholesale partners and
international online partners.

 

QUIZ operates through an omni-channel business model, which encompasses online
sales, standalone stores, concessions, international franchises and wholesale
arrangements.

 

To download images please visit:
http://www.quizgroup.co.uk/media-download-centre/
(http://www.quizgroup.co.uk/media-download-centre/)

For further information:

https://www.quizclothing.co.uk/ (https://www.quizclothing.co.uk/)

http://www.quizgroup.co.uk/ (http://www.quizgroup.co.uk/)

 

 

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