REG - Ramsdens Holdings - Pre-Close Trading Update

Ramsdens HoldingsAnnouncement

05/10/2023 07:00

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RNS Number : 7332O  Ramsdens Holdings PLC  05 October 2023

5 October 2023

Ramsdens Holdings PLC

("Ramsdens" or the "Group")

Pre-Close Trading Update

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

Record profits reflecting continued progress across the Group's diversified
income streams

Ramsdens Holdings PLC, the diversified financial services provider and
retailer, announces a pre-close trading update for the year ended 30 September
2023 ("FY23" or the "Period").

The Group continued to trade well during the second half of the Period,
benefiting from the strength of its diversified business model. As a result,
the Board anticipates Profit Before Tax for the Period to be a record result
of more than £10m (FY22 £8.4m).

FY23 Highlights

-      Foreign currency revenue increased year on year by approximately 8%.
The important summer trading period saw a mixture of increased transaction
volumes, lower average transaction values and, as expected, a slight reduction
in margins. We successfully launched our multi-currency card in September 2023
and are encouraged by initial sales and load volumes.

-      Jewellery retail revenue again enjoyed strong growth benefiting
from the investments the Group has made to enhance its retail proposition both
in store and online during recent years. Revenue increased more than 20% year
on year supported by particularly strong momentum online.

-      The active pawnbroking loan book increased by approximately 20%
to a record £10.3m as at 30 September 2023 (FY22: £8.6m), with August being
a record month for new lending.  The median loan value was £174 and
repayment rates remained in line with historical levels.

-      Precious metal buying revenue increased by approximately 50% year
on year as consumer demand for realising value in unwanted or damaged
jewellery increased in part as a result of the higher Sterling gold price.

-      During the year, we opened eight new stores and acquired a
pawnbrokers in Bexleyheath.  We are very pleased with the initial
performances of these stores so far.

Peter Kenyon, CEO of Ramsdens commented:

"We are pleased with the Group's continued delivery against its long-term
growth strategy, with good progress made during the Period in each of our
diversified income streams.

Our recent staff engagement survey results show we have a highly engaged
workforce who enjoy working for Ramsdens and serving our growing customer
base.  I am grateful for our team's commitment during the year and would like
to take this opportunity to publicly thank them all for their efforts.

While the economic backdrop is challenging and Ramsdens is not immune to
inflationary cost pressures, particularly energy and payroll, the Board
remains confident that Ramsdens is in a good position to continue its positive
momentum into the new financial year underpinned by the Group's proven and
diversified business model, strong brand and clear growth strategy."

 

The Board expects to release its Annual Financial Report in mid-January
2024.

The information contained within this announcement is deemed to constitute
inside information as stipulated under the Market Abuse Regulation (EU) No.
596/2014 as amended by The Market Abuse (Amendment) (EU Exit) Regulations
2019. The person responsible for making this announcement on behalf of the
Company is Peter Kenyon, Chief Executive.

 

Enquiries:

Ramsdens Holdings PLC
 
Tel: +44 (0) 1642 579957

Peter Kenyon, CEO

Martin Clyburn, CFO

 

Liberum Capital Limited (Nominated Adviser)             Tel: +44
(0) 20 3100 2000

Richard Crawley

Lauren Kettle

 

Hudson Sandler (Financial PR)
 
Tel: +44 (0) 20 7796 4133

Alex Brennan

Emily Brooker

 

About Ramsdens

Ramsdens is a growing, diversified, financial services provider and retailer,
operating in the four core business segments of foreign currency exchange,
pawnbroking loans, precious metals buying and selling and retailing of second
hand and new jewellery.  Ramsdens does not offer unsecured high cost short
term credit.

 

Headquartered in Middlesbrough, the Group operates from 161 stores within the
UK (including 2 franchised stores) and has a growing online presence.

 

Ramsdens is fully FCA authorised for its pawnbroking and credit broking
activities.

 

www.ramsdensplc.com (http://www.ramsdensplc.com)

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

 

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