Newly-listed retailer Bonmarché (BON) has finished its first year as a listed company on a high as strong fourth-quarter sales growth meant that full-year trading came in slightly ahead of market expectations.
Revenue at the low-cost women's retailer accelerated in the final quarter, rising 16 per cent, with the same level of like-for-like growth. That helped to boost full-year sales by 12 per cent, and pushed underlying revenue 13 per cent higher. Chief executive Beth Butterwick attributed the outperformance to improved product ranges, store refurbishments and investment in multi-channel retailing - online sales surged 84 per cent over the year.
On the back of the trading statement, Investec retail analyst Kate Calvert has upgraded pre-tax profit forecasts for the full year by 4 per cent to £11.1m, and by 3 per cent to £12.2m for 2015. "While comparables will be tougher in 2015, we believe there is plenty of self-help to come over at least another 18 months," she said. However, Ms Calvert added that due to the better than expected performance, management has decided to explore new avenues of growth earlier than planned, which means costs will be slightly higher.
