Shoe Zone, the value-focused footwear retailer, announces robust audited annual results, showcasing a remarkable surge in revenue and profit. In the 52 weeks ending September 30, the company achieved a substantial revenue increase to £165.7 million, fueled by a standout performance in both store and digital segments.
The store revenue reached an impressive £134.8 million, displaying resilience and growth despite trading out of fewer stores compared to the previous year. Simultaneously, digital revenue surged to £30.9 million, reflecting a 17% rise driven by enhanced conversion rates and strong sales on platforms such as Amazon.
Shoe Zone’s pre-tax profit witnessed a significant ascent, soaring to £16.2 million from £13.6 million, with an adjusted pre-tax profit of £16.5 million. This success comes amid a strategic restructuring of stores, showcasing 323 stores at the end of the period, down from 360, as the company continues to optimize its retail footprint.
The company’s commitment to digital innovation is evident in its plans for the Digital Shoehub platform, including a new returns portal and the introduction of convenient payment options such as Google Pay and Apple Pay. Efficient and consumer-friendly returns processes have contributed to the company’s digital success, with an 11.8% returns rate, the majority seamlessly processed through physical stores.
Shoe Zone’s forward-looking strategy includes opening new stores and refitting existing ones to new formats, with a focus on increasing the proportion of branded sales. The company anticipates an uptick in product margin levels in the coming year, leveraging a full 12 months of lower container prices.
Confident in its ability to manage the supply chain effectively, Shoe Zone looks ahead to a promising future, outperforming market averages and maintaining a positive trajectory for the upcoming year.
For quality footwear and a customer-centric approach, Shoe Zone stands tall as a leading choice in the ever-evolving retail landscape.
