16th Jun 2016 06:18
LONDON (Alliance News) - N Brown Group PLC on Thursday reported a fall in revenue in the first quarter of its financial year, but said it is trading in line with expectations and left its full-year guidance unchanged.
The online and catalogue fashion retailer said group revenue in the 13 weeks ended May 28 fell by 0.2% year-on-year, as a 1.6% decline in product revenue offset 3.4% growth in financial services revenue.
The decline was an improvement on the 3.5% fall seen in the fourth quarter of the previous financial year but was short of the 4.3% growth reported in the first quarter of that year.
N Brown said it saw a continued increase in online sales penetration, with online revenue up 6%, but the number of total active customers remained flat year-on-year. Financial services revenue was driven by an increase in new credit customers, but product sales faced a "challenging market backdrop", N Brown said.
N Brown said overall trading is line with expectations, and its full-year guidance remains unchanged.
"Our three Power Brands, JD Williams, Simply Be and Jacamo, continue to outperform the wider group. Revenue from our Traditional Segment has continued to decline, but remedial actions are now well underway," Chief Executive Angela Spindler said in a statement.
"Our systems transformation programme, Fit 4 the Future, remains on track in all respects. Looking forward, our new systems will give us a strong platform to capitalise on the significant growth opportunities ahead," she added.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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