Gear4music sales grow during last two months of 2019

(Sharecast News) - Online musical equipment retailer Gear4music saw total sales increase in the two months ended 31 December, reflecting the commercial and operational progress made across the group during the last calendar year.
Total sales grew 7% to £30.4m, while UK sales were up 6% at £15.9m and Europe and rest of the world sales improved 7% to £14.5m.

Gross margins improved by 260 basis points to 26.5% and gross profits increased by 18% to £8m.

The AIM-listed group also highlighted its upgraded infrastructure for demonstrating its resilience and capacity over the Black Friday to Cyber Monday weekend, with Gear4music "comfortably" dispatching over 26,000 consignments - 34% more than it did during the same weekend a year earlier.

Chief executive Andrew Wass said: "We are pleased to report that as a result of our focused strategic and operational initiatives, profits for the current financial year are expected to be at least in line with the board's expectations.

"We remain confident in the medium to long term growth opportunity, whilst continuing our focus on improving gross margins and sustainable profitability."

As of 1000 GMT, Gear4music shares had shot up 12.26% to 272.22p.