Ramsdens lifts profit guidance after record first-half performance

(Sharecast News) - Ramsdens lifted its full-year profit guidance on Tuesday after reporting a record first-half performance, with interim profit before tax exceeding the whole of the prior financial year.

The AIM-traded financial services provider and retailer said revenue rose 62% to £83.7m in the six months ended 31 March, from £51.6m a year earlier, while gross profit increased 48% to £40.1m.

Profit before tax surged 173% to £16.7m, from £6.1m, exceeding the £16.2m reported for the full 2025 financial year.

Basic earnings per share rose to 37.9p from 13.9p.

The strongest contribution came from the purchase of precious metals, where gross profit rose 130% to £17.5m, driven by the sustained elevated gold price and higher volumes.

Jewellery retail revenue increased 26% to £26.1m, with gross profit up 31% to £10.4m, while pawnbroking gross profit rose 18% to £7.3m, supported by disciplined lending and a growing loan book.

Foreign currency gross profit fell 9% to £4.6m, despite stable volumes, as more customers used lower-margin digital services.

Ramsdens said around 50,000 Mastercard multi-currency cards were now in issue, up from 25,000 a year earlier.

Net assets increased to £70.2m from £54.7m.

The board approved a 33% increase in the interim ordinary dividend to 6.0p per share and declared an interim special dividend of 3.0p, taking the total interim payout to 9.0p per share, compared with 5.0p a year earlier.

Ramsdens said current trading remained strong, with the elevated gold price continuing to drive exceptional demand for gold buying.

Momentum in jewellery retail had continued into the second half, while pawnbroking demand remained robust, with the loan book rising to £14.5m by 31 May from £13.8m at the period end.

The company also said store expansion was accelerating, with the estate reaching 172 stores at the half-year end after two openings and one acquisition, and further openings completed since.

As a result of the continued strong performance across its diversified income streams and the benefit of high gold prices, Ramsdens said it now expected full-year profit before tax of between £30m and £33m, ahead of prior market expectations of £28.6m.

Chief executive Peter Kenyon said the group was "in a great position", adding that while gold profits were attracting attention, Ramsdens had also delivered strong growth in pawnbroking and jewellery retail.

"The strong profits we are generating are funding the growth in our working capital assets and an accelerated new store opening program, as well as rewarding shareholders with an increased dividend," he said.

Kenyon said the economic backdrop remained challenging, citing rising employment costs, high interest rates and inflation, but added that the company remained "highly confident" in its ability to strengthen existing stores and add new locations.

At 0848 BST, shares in Ramsdens Holdings were up 4.46% at 477.9p.

Reporting by Josh White for Sharecast.com.

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