21 January
2025
Gear4music (Holdings) plc
Trading
Update
Peak season trading in-line
with Board expectations
Gear4music
(Holdings) plc ("Gear4music" or "the Group"), the largest UK based
online retailer of musical instruments and music equipment, today
announces a trading update for the three months to 31 December
2024.
|
£m
|
3m to 31 Dec
2024
|
3m to 31
Dec 2023
|
% change on FY24
Q3
|
|
UK
revenue
|
29.7
|
26.2
|
+13%
|
|
European and Rest of the World revenue
|
19.3
|
20.2
|
(4%)
|
|
Total revenue
|
49.0
|
46.4
|
+6%
|
FY25 Q3
Highlights
-
6% revenue growth represents further positive
momentum in a challenging consumer environment
-
Strong gross margin at 28.1% (FY24 Q3: 28.2%; FY23
Q3: 25.6%) reflects continued pricing discipline
-
Gross profit of £13.7m (FY24 Q3: £13.1m) was £0.6m
higher than FY24 Q3
-
FY25 EBITDA in-line with
consensus market expectations*
Gear4music's Executive Chair, Andrew
Wass, said:
"We are pleased to report that
financial performance during our FY25 peak seasonal trading period
was in line with the Board's expectations, with 6% revenue growth
and an improvement in Gross Profit. This reflects the progress we
have made as a result of our refreshed growth strategy,
in what continues to be a challenging consumer
environment, particularly in certain European markets.
Christmas trading followed the
pattern we had expected and planned for, with revenues in November
being subdued by the late Black Friday weekend condensing peak
revenues into the three weeks before Christmas.
January trading to date continues to
be in line with the Board's expectations and we are confident that
the business is well positioned for continued profitable growth
during FY26."
* Gear4music believes that
current consensus market expectations for the year ending 31 March
2025 are revenues of £154.7 million, EBITDA of £11.7 million and
profit before tax of £2.8 million.
ENDS
Enquiries:
|
Gear4music
Andrew Wass, Executive
Chair
Gareth Bevan, Chief Executive
Officer
Chris Scott, Chief Financial
Officer
|
+44 (0)20 3405 0205
|
|
|
|
|
Singer Capital Markets - Nominated Adviser and
Broker
Peter Steel/Sam Butcher, Corporate
Finance
Tom Salvesen, Corporate
Broking
|
+44 (0)20 7496 3000
|
|
|
|
|
Alma Strategic Communications - Financial PR
Rebecca
Sanders-Hewett
Joe
Pederzolli
David Ison
|
+44 (0)20 3405 0205
Gear4music@almastrategic.com
|
About Gear4music (Holdings)
plc
Gear4music is the largest retailer of
musical instruments and music equipment in the UK, delivering to
190 countries across Europe and the Rest of the World.
The Group sells own-brand musical
instruments and music equipment alongside premium third-party
brands including Fender, Yamaha and Roland, to customers ranging
from beginners to musical enthusiasts and professionals.
Operating from a Head Office in York,
the Group has Distribution Centres in York, Bacup, Sweden, Germany,
Ireland & Spain, and showrooms in York, Bacup, Sweden &
Germany.
Having developed its own e-commerce
platform, with multilingual, multicurrency websites, the Group
continues to build its overseas presence.