Last checked at 11 Oct 2017 07:00
QUIZ Plc
("QUIZ" or the "Group")
Pre-close Trading Update
For the six month period to 30 September 2017
Strong omni-channel growth across UK and international markets
QUIZ, the omni-channel fast fashion womenswear brand, is pleased to announce a 35% increase in Group revenue to £56.1m (H1 2016: £41.5m) for the six month period to 30 September 2017 ("H1 2017"), compared to the same period last year. Gross margins remain in-line with expectations.
QUIZ's strong growth in H1 2017 reflects the brand's continued expansion in the UK and targeted international markets across the Group's omni-channel model.
The QUIZ brand has continued to grow rapidly online with Group online revenue increasing by 204% to £13.8m in H1 2017 (H1 2016: £4.5m) reflecting the benefit of opening the new 180,000 sq. ft. Distribution Centre in the summer 2016, increased and effective marketing spend, particularly through digital channels, and the broadening of the product ranges available to customers. The Group's online revenues reflect sales made through QUIZ's own websites, as well as through a number of third party websites. Sales through QUIZ's own websites increased by 122% in H1 2017. In September 2017, QUIZ launched its first localised website in Spain. There has also been strong growth in sales made through existing and new third party websites, which includes the benefit of commencing sales on the Next website in October 2016 and with Zalando in Germany in May 2017.
The QUIZ brand continues to grow across its target international markets with the international sales, excluding the non-recurring wholesale revenue in relation to Spain in the year ended 31 March 2017, for H1 2017 increased by 25% (23% in constant currency) to £10.0m in H1 2017 (2016: £8.0m). The Group's total international sales* for H1 2017 increased by 12% (10% in constant currency) to £10.0m in H1 2017 (2016: £8.9m).
The Group continues to deliver on its international expansion towards the end of the period and opened three standalone stores in Madrid in Spain, QUIZ's first standalone stores outside the UK and the Republic of Ireland. This has complemented the recent launch of QUIZ's own Spanish language website. It is anticipated that one additional store will be opened in the Republic of Ireland prior to Christmas 2017.
The Group has also expanded its international franchise operations from 65 units to 76 units in H1 2017, including new franchise units in Dubai, UAE and Morocco, further demonstrating the growth opportunities for the QUIZ brand globally.
Sales in the Group's UK standalone stores and concessions increased by 15% to £32.3m in H1 2017 (H1 2016: £28.1m) with each channel performing in line with expectations. QUIZ opened one new standalone store in H1 2017 and is targeting to open a further five standalone stores prior to Christmas 2017 in-line with the Group's strict return-on-investment roll-out strategy. The Group also opened four new concessions with its existing UK partners. QUIZ continues to actively manage its retail portfolio and closed one standalone store and four concessions in the period.
The Group intends to announce its Interim Results for the six months to 30 September 2017 on 22 November 2017.
Commenting on trading, Tarak Ramzan, Chief Executive Officer, said:
"We are very pleased with the QUIZ brand's strong growth across target markets and channels with online in particular experiencing continued outstanding momentum.
"Our IPO in July 2017 was a hugely important milestone for the Company as we continue to build the QUIZ brand as a global fast-fashion destination for customers who want the latest looks at outstanding value. The QUIZ brand has a distinct USP, a strong customer connection and fast-fashion in its DNA. Our customer base is growing strongly and we are confident of delivering further growth."
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*Included within this revenue are the results from QUIZ standalone stores and concessions in the Republic of Ireland, standalone stores in Spain and franchises in 20 countries.
Market abuse regulation
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.
Enquiries:
QUIZ plc | Via Hudson Sandler |
Tarak Ramzan, Chief Executive Officer Gerry Sweeney, Chief Financial Officer Sheraz Ramzan, Chief Commercial Officer |
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Panmure Gordon (Nominated Adviser and Sole Broker) Ben Thorne / Alina Vaskina / Andrew Godber (Corporate Finance )
Erik Anderson / Amy Sarra (Corporate Broking)
| +44 (0) 207 886 2500 |
Hudson Sandler LLP (Public Relations) | +44 (0) 207 796 4133 |
Alex Brennan Sophie Lister Fern Duncan | quiz@hudsonsandler.com |
About QUIZ
QUIZ is an omni-channel fast fashion womenswear brand, specialising in occasion wear and dressy casual wear.
QUIZ delivers a distinct proposition that empowers fashion forward females to stand out from the crowd.
QUIZ's buying and design teams constantly develop its own product lines, ensuring the latest glamorous looks at value prices. This fast, flexible supply chain, together with the winning formula of style, quality, value and speed-to-market has enabled QUIZ to grow rapidly into an international brand with more than 300 standalone stores, concessions, franchise stores, wholesale partners and international online partners in 20 countries.
QUIZ operates through an omni-channel, fast fashion business model, which encompasses online sales, standalone stores, concessions including, among others, Debenhams and House of Fraser, international franchises and wholesale.
To download images please visit: http://www.quizgroup.co.uk/media-download-centre/
For further information:
https://www.quizclothing.co.uk/
http://www.quizgroup.co.uk/