Shoe Zone shares jump after revenue rise
Shoe Zone, the UK’s largest value footwear retailer, hit the ground running this morning as a rise revenue boosted its share price.
The group, which suffered a sharp drop in its share price this summer after issuing a profit warning, said today that revenue for the full-year had risen despite “challenging” trading conditions.
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Revenue climbed year-on-year from £160.6m to £161.9m in the 12 months to 5 October.
Investors cheered the news, with the firm’s share price rising eight per cent to 128p.
However, over the last year the group’s share price has crashed more than 30 per cent, closing at 118.5p last night.
Shoe Zone ended the year with 500 stores, having opened 24 and closed 16 during the period.
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The firm also reported a fall in its net cash balance from £15.7m to £11.3m.
In August Shoe Zone’s chief executive Nick Davis stood down with immediate effect following the profit warning, paving the way for executive chair Anthony Smith to take his role.
Smith said today: “Shoe Zone has ended this difficult year in line with our revised expectations. It is early days in the new financial year but we have been encouraged by the performance so far.
“There are a further twenty Big Box openings planned for the coming year which, alongside our strong Digital momentum, will continue to drive growth in the future.”
He added: “We look forward to updating shareholders on progress at the time of our Final Results in January.”