12th Apr 2016 07:39
LONDON (Alliance News) - Fishing Republic PLC on Tuesday reported a drop in profit in 2015 as it booked costs associated with its initial public offering last year, but sales rose boosted by strong online growth and improved stock availability in stores.
The fishing tackle retailer, which was admitted to AIM last June, said its pretax profit in 2015 fell to GBP5,700 from GBP295,000 in 2014 due to it booking IPO costs and increased marketing expenditure.
Excluding exceptional items, pretax profit grew to GBP305,000.
Revenue, meanwhile, increased by nearly a quarter to GBP4.1 million from GBP3.4 million. Fishing Republic said the funds it raised from its IPO helped support a 45% rise in sales in the second half of the year as it invested in online sales and marketing activity and improved stock availability in stores. Online sales were up by 30% year-on-year.
"The business is well-placed for the new fishing season and we remain very optimistic about prospects as we look to continue to develop the business," Chief Executive Steve Gross said in a statement.
"Trading in the first few months of the new financial year, seasonally our quietest quarter, has been in line with the board's expectations. The board has a strong pipeline of opportunities to expand the store network and we expect the group to continue to develop over the current financial year," Chairman James Newman added.
Shares in Fishing Republic were trading down 1.6% at 31.49 pence on Tuesday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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