|
Character Group PLC on Thursday said it was on track to beat full-year market expectations after reporting progress in the first half of the financial year. Shares in Character Group closed up 8.3% at 299.00 pence in London on Thursday. In the six months ended February, the Surrey-based toy, games and giftware company said pretax profit multiplied to £2.2 million, up from £0.2 million a year prior. Basic earnings per share rose to 9.31 pence from a loss of 0.85p per share. The improved profitability reflected lower selling and distribution costs, and came despite sales ticking down to £57.6 million from £57.9 million. Character Group noted lower logistics costs associated with the its Scandinavian business, as inventory was significantly reduced from last year, and increased influencer sales in the UK domestic market producing a lower advertising to sales ratio. Gross profit margin in the period improved slightly to 27.2%, compared to 26.9% in the same six month period in 2023 and 26.7% for the August 2023 financial year. ‘We have been encouraged by the enthusiasm with which our product portfolio has been received by our customers. The industry buzz around some of our new releases, such as Terror Fried, and new additions to our established lines, like Goo Jit Zu, is very encouraging too’, the company said. ‘The group has a strong portfolio of products, underpinned by a strong balance sheet, and has a net cash position with substantial un-utilised working capital facilities in place. On the back of our first half-year’s performance and these signs of the group’s robust health, we anticipate profit before tax and highlighted items in respect of the full year to August 31 will exceed current market expectations.’ ‘The board is comfortable that the group is on course to meet its targets,’ it added. Character Group declared an unchanged interim dividend of 8.0p per share. Copyright 2024 Alliance News Ltd. All Rights Reserved.
|
