Ramsdens set to deliver record full-year profits

5th Oct 2023 11:22

(Sharecast News) - Shares in Ramsdens Holdings raced ahead of Thursday after the FX, pawnbroking and jewellery retail group said it expects to deliver record profits for the fiscal year just ended.

In a pre-close update for the 12 months to 30 September, the company said it made "good progress" across each of its income streams.

"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," said chief executive Peter Kenyon.

Pre-tax profit for the year is expected to come in at an all-time high of "more than £10m", compared with £8.4m the previous year.

In terms of its divisional performance: FX revenues rose 8%, though increased volumes were offset by lower average transaction values leading to a reduction in margins; jewellery retail saw 20% sales growth, helped by strong momentum online; the active pawnbroking loan book rose by 20%, helped by a record month for new lending in August; while precious metal buying revenues jumped by 50%.