Card Factory strikes better tone

Card Factory (CARD) has struck a more upbeat note discussing the state of the current financial year. Last year’s results were grim, with underlying sales mostly flat and profits – whether on a cash, operating or pre-tax basis – in decline, as margins took a sustained beating. But the board says it’s more “satisfied” with current progress, and believes it could muster a special dividend of 5p-10p this year if costs remain largely in line with expectations. Admittedly, pressure will persist – cash profit margins will fall by around 120 basis points this year – but chief executive Karen Hubbard believes investments that are being made now in new ranges and better efficiencies will pay off in 2020.