- Shoe Zone saw revenues rise by 6.1% to £165.7m in the year ending September
- Store sales grew by £5m despite the group closing more outlets than it opened
- Meanwhile, the Leicester-based firm’s pre-tax profits climbed by 19.1% to £16.2m
Solid summer and back-to-school trading helped Shoe Zone post higher revenues and profits last year.
The budget footwear seller revealed turnover rose by 6.1 per cent to £165.7million in the year ending September, with digital sales jumping by 17 per cent to exceed its pandemic-era peak thanks partly to bumper trade on the Amazon website.
Store revenues also grew by £5million to £134.8million, despite the firm closing more outlets than it opened as part of a refit and relocation scheme.
Bumper result: Solid summer and back-to-school trading helped Shoe Zone post higher revenues and profits last year
Anthony Smith, chief executive of Shoe Zone, said that demand was strong during the second half, especially over the peak summer and back-to-school periods.
This boosted the group’s pre-tax profits by 19.1 per cent to £16.2million, as did the reduction in container prices and rent bills from shop renewals.
The Leicester-based company ended September with 323 stores, 37 fewer than 12 months previously, and also refitted 15 existing sites to new formats.
It plans to make over or launch another 25 brick-and-mortar outlets while shutting numerous older stores and renovating at least 25 more shops to its latest formats.
Smith said: ‘We continue to accelerate our store refit and relocation programme and to drive our digital strategy on the back of these solid set of results.
‘The hard work completed to reduce costs, streamline operations and accelerate investment positions us well for the year ahead.’
Shoe Zone shares were 1.9 per cent up at £2.30 on early Tuesday afternoon and have approximately quadrupled in the past three years.
The London-listed firm’s sales took a significant downturn during the early stages of the Covid-19 pandemic when its outlets were forced to close and schools switched to remote learning.
Trading rebounded after lockdown restrictions were loosened and back-to-school items sold in droves.
Initially founded in 1917 and formerly called Benson Shoe, Shoe Zone was bought by brothers Michael and Christopher Smith in 1980 when its annual turnover was around £1million.
The company grew over the next few decades via numerous acquisitions, such as Stead & Simpson, Oliver Timpson, and Shoefayre, previously owned by the Co-Operative Group.
According to its website, Shoe Zone employs more than 2,500 people and sells about 14.5 million pairs of shoes annually.
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