Findel first half loss narrows but revenue slips

Home shopping and education company Findel posted a narrower loss for the first half of the year, although revenue nudged lower as the Express Gifts division performed below expectations.

For the 26 weeks to 25 September, the group posted a pre-tax loss of £600,000 compared with £1m in the same period last year, although revenue slipped to £191.4m from £192.2m.

Findel said revenue growth in Express Gifts was weaker than expected, at 2.7%, with operating profit flat. It attributed the decline to unexpected slowing demand from autumn catalogues, mainly from new and dormant customers.

Chief executive David Sugden said: “Express Gifts has seen a remarkable improvement in its performance over the last four years and the business is confident that the recent slowdown in new customer recruitment will be reversed in future campaigns.

“The plans for recruitment all year round and maintaining the focus on delivering good value products to its 1.4 million customers position it well for the future.”

Sugden said the company remains well positioned to deliver an increase in pre-tax profit for the full year in line with expectations.

At 1338 GMT, Findel shares were down 0.2% at 227p.