COLEFAX GROUP PLC
(“Colefax” or the “Group”)
Half Year Results
for the six months ended 31 October 2021
Colefax is an international designer and distributor of furnishing fabrics & wallpapers and owns a leading interior decorating business. The Group trades under five brand names, serving different segments of the soft furnishings marketplace; these are Colefax and Fowler, Cowtan & Tout, Jane Churchill, Manuel Canovas and Larsen.
Highlights
- Group sales up 24.8% to £46.12 million (2020: £37.0 million) and by 30.9% on a constant currency basis reflecting favourable market conditions in the US and the UK
- Group profit before tax up 33% to £4.49 million (2020: £3.37 million)
- Earnings per share increased by 40% to 39.6p (2020: 28.2p)
- Tender Offer and share buyback returned £6.7 million of surplus capital to shareholders in September 2021
- Fabric Division sales up 23% to £41.25 million (2020: £33.60 million) and by 29% on a constant currency basis
- US up by 33%, UK up by 39%, Europe up by 11
- Decorating Division sales of £3.57 million (2020: £2.1 million) still affected by project delays and travel restrictions but significant billing expected in second half of year. loss of £378,000 (2020: loss of £687,000)
- Cash at half year end of £17.5 million (30 April 2021: £19.3 million) with cash generation of £4.9 million excluding the Tender Offer
- Interim dividend of 2.5p (2020: nil) and return to progressive dividend policy
David Green, Chairman, said:
“ Our performance over the last six months reflects very favourable trading conditions in the US and the UK which together account for 80% of Fabric Division sales. These conditions have continued into the second half of the year and as a result we remain optimistic about prospects although we expect the rate of growth to slow as the economy gradually returns to normal. Our Decorating Division is expected to deliver an exceptional performance this year due to a major project completing in the second half of the year.
“We have made good progress over the last six months and our strong balance sheet means we can invest with confidence in our portfolio of luxury brands and our worldwide distribution network.”