Gear4Music PLC - York, England-based retailer of musical instruments and equipment - Chief Executive Officer Andrew Wass tells annual general meeting that trading in its financial year that began on April 1 has been in line with board expectations. Cites consensus market expectations of GBP10.0 million in earnings before interest, tax, depreciation and amortisation in financial 2024 on revenue of GBP161.2 million. This would compare with GBP7.4 million and GBP152.0 million in financial 2023.
"We are prioritising increasing gross margins and cost base reduction to improve profitability, ahead of revenue growth," Wass says. "We are pleased with the progress being made in these areas, which has included driving significant cost efficiencies in our software development unit."
Highlights launch in March of second-hand system, saying this already has facilitated "several thousand" trade-ins. The system was launched in Europe in the past few weeks, and it "continues to show signs of being a long-term growth driver".
Will provide trading update for the half-year ending September 30 on October 19 and full interim results on November 14.
Current stock price: 100.00 pence, up 14% on Friday morning in London
12-month change: down 25%
By Tom Waite, Alliance News editor
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Gear4music (G4M)