10th Jan 2022 14:48
(Alliance News) - Marks Electrical Group PLC on Monday said it achieved a "strong performance" in its third-quarter and is on track to meet its full-year revenue and earnings targets.
The Leicester-based electrical products retailer said revenue in its third-quarter ended December 31 increased 27% to GBP22.3 million from GBP17.5 million from the comparable period a year before.
Year to date revenue for the nine months to December 31 grew 55% to GBP59.8 million from GBP38.6 million a year before.
Marks Electrical noted that this kept the business on track to deliver its revenue target for the current year.
Furthermore, the retailer of electrical products said it is on track to achieve its full-year adjusted earnings before interest, taxes, depreciation, and amortization target due to the achievement of "operational leverage" that drove margin expansion.
Marks Electrical also attributed its growth to its continued investment in TV campaigns that lead to increased website traffic combined with its revised approach to digital marketing that helped to attract new customers.
Additionally, maintained inventory levels during peak trading periods, continued focus on working capital management, growing its in house fleet of delivery vehicles to achieve "record" delivery volumes, as well as market share growth in its Major Domestic Appliances segment and a strong performance of its Television segment contributed to the "high growth" throughout the period.
"Our team has delivered a record quarter, handling increased throughput in our warehouse and via our expertly trained team of delivery drivers. Our call volumes have increased materially and our team have stepped up to deliver during the busiest time of the year, demonstrating the agility of our colleagues and business model to adapt quickly when volumes increase," Chief Executive Mark Smithson commented.
He added: "Our momentum has continued into January and we look forward to maintaining our performance management discipline on revenue, profit and cash in the final months of the year."
Shares were down 1.1% at 118.25 pence each on Monday morning in London.
By Abby Amoakuh; [email protected]
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