High street retailer Card Factory has chalked up rising sales and profits on the back of new shop openings, helping it to counter an “uncertain and inflationary” backdrop.
The Wakefield-based chain has posted results for the year ended January 2025, showing a 6.2% lift in revenues to £542.5m, and a 4% increase in Ebitda to £127.5m. Underlying pre-tax profits rose 6.3% to £66m for the year.
During the period it also opened 32 new stores on a net basis, boosting its portfolio to 1,090 by the year end. It saw like-for-like sales lift 3.4% in the Ƶ and Ireland, buoyed by a ‘space optimisation programme’ which saw it introduce in-store innovations such as stationery and kids zones.
Other efforts to revamp its offering also aided sales, with the firm reviewing its ranges and focussing on an expanded celebrations range, such as personalised balloons, tableware and decorations. It said it also continued to develop omnichannel propositions, which included making improvements to its nationwide Click & Collect service.
A new 'balloon appointment' trial went live at the end of Q1 FY26, in which customers pre-order inflated balloon arrangements online and collect in store.
Directors said underlying profits were also helped by cost cutting initiatives, following on from moves last year to make savings in the face of the higher costs, such as a new workforce managing system and efficiencies across support functions. It also closed its online gettingpersonal.co.uk offering at the end of January.
Trading through the first months of the new financial year has been in line with management expectations, it said, with good momentum continuing across its FY26 Spring seasons of Valentine’s Day and Mother’s Day, while noting a new record trading day reported on the Saturday before Mother’s Day.
Darcy Willson-Rymer, chief executive of Card Factory, said: “Despite an uncertain and inflationary backdrop, we remain confident in our ability to deliver mid-to-high single-digit percentage profit growth, underpinned by our strategic focus, our ongoing productivity and efficiency programme and our strong financial discipline.”
Retail analyst Russell Pointon at Edison Group said: “The company’s success in entering new product categories is evident, outperforming a weak celebrations market.”
