- Prachi Singh |
In its interim trading update for the 26 weeks to November 25, 2018, British lifestyle brand Joules said that revenue for the period increased by 17.6 percent to 113.1 million pounds (143.7 million dollars). Given this sales performance, the board anticipates announcing a level of underlying profit before tax (PBT) that is slightly ahead of initial expectations for the period.
Commenting on the trading update, Colin Porter, the company’s CEO said in a statement: “I am delighted to update on what has been another period of strong performance for Joules despite challenging trading conditions. In the UK, our ‘total retail’ cross-channel model, underpinned by investment in infrastructure, has proven to be well suited to today’s rapidly changing consumer shopping behaviours. In addition, our international wholesale business continues to make excellent progress by both increasing sales to existing accounts and developing new accounts.”
Joules posts growth in both retail and wholesales revenues
The company reported rise in both retail and wholesale revenue figures in the period to 79.9 million pounds and 32.5 million pounds respectively, but said that they were impacted by the transition of some UK wholesale accounts to a retail concession model.
Retail revenue growth of 21.2 percent, the company said, continues to be driven by focus on delivering a seamless and enjoyable experience to customers, irrespective of how, when and where they want to shop the Joules brand. E-commerce also performed well in the first half and now represents nearly fifty percent of the company’s all retail sales. Wholesale revenue rise of 8 percent, Joules added, benefited from continued strong growth in its target international markets, the US and Germany, and good UK performance.
Looking ahead, the Board anticipates that trading conditions in the UK will remain challenging over the near term, with continued macroeconomic uncertainty, rapidly changing consumer shopping behaviours and a highly competitive environment. However, following the robust first half performance and a strong spring/summer 2019 wholesale order-book, the Joules board is confident of achieving full year PBT in line with its expectations.