Eve Sleep delivers double-digit H1 revenue growth

Mattress distributor Eve Sleep said on Friday that it had delivered a "good first-half performance", with group revenues improving by double digits.

Eve Sleep posted a 13% increase in group revenues to £13.9m, with an 18% increase in UK and Ireland revenues being partially offset by an 8% year-on-year decrease in French revenues.

The AIM-listed firm said its growth was primarily online, with a softer performance from retail partners, reflecting lockdown restrictions over the first quarter and, to some extent, a potentially permanent channel shift to ecommerce.

Looking forward to the second half, Eve Sleep stated that whilst visibility on UK trading conditions remained "limited", the risk of further shocks and disruption to the economic recovery was still there.

Eve Sleep also highlighted that it had suffered some industry supply challenges around raw material inflation and componentry shortages.

"As expected at the time of the results these pressures have since abated to some degree, and in terms of componentry issues, eve has managed this through the investment in additional stock to ensure customers receive a first-rate service," said Eve.

The company also warned that there may well be further disruption and inflationary pressures, dependent on how the Covid-19 pandemic continues to affect global supply chains.

As of 0900 BST, Eve Sleep shares had sunk 17.39% to 3.80p.