Matalan revenues fall over Christmas
Matalan has reported a fall in revenues over the Christmas trading period although it achieved “robust improvements” in margins.
The discount fashion and homewares retailer, which operates 217 UK stores, saw its total revenues for the five weeks to 29 December fall by 1.5%.
Matalan said it had improved its margins during the peak trading period, with fewer markdowns compared to the same period last year.
The retailer also reported its results for the 13 weeks ending 24 November. Although total revenues fell from £310.8 million to £309.5 million, EBITDA rose from £41.7 million to £45.3 million.
Never Miss a Retail Update!Chief executive Darren Blackhurst said: “Whilst headline revenues are broadly in line with last year, this should be viewed in the context of promotional activity that took place last year. We have deliberately focused on the quality of our earnings throughout the current quarter and into December, and have delivered a robust improvement in margins.
“Our active customer base in growing, the quality of our offer for customers is improving and we continue to improve our earnings.
“We have exited the peak trading period with a good stock position and a strong cash balance.
“The market continues to be challenging and competitive and we therefore remain cautious in our outlook.”
