Quiz reaps rewards of return of party season
Quiz has continued to back its come-back story as the fashion chain posts higher sales after shoppers have rushed to stock up their party wardrobes after the pandemic.
In a trading update for April to September, the once struggling retailer posted total revenues of £49.4m, 37.2 per cent higher than the year before.
Demand for party dresses has further recovered after the lifting of Covid social restrictions, the London-listed brand said on Monday morning.
Sales across the group’s UK stores and concessions were “consistently” higher than pre-pandemic levels, it said.
However, it cautioned that its year on year revenue growth rate had “moderated” in recent weeks, with inflationary pressures beginning to take a hit to consumer confidence in August and September.
The group said it “remains uncertain” how the cost of living crunch would eat into shoppers’ discretionary spending, the Scottish retailer admitted.
Even so, bosses said they were confident that Quiz’s “product proposition and commitment to providing glamorous looks at value prices will continue to appeal.”
Like many of its high street rivals, Quiz endured a tough few years with pandemic-related closures contributing to a pre-tax loss of £9.6m for the year ended 31 March 2021.
It managed to reverse its fortunes earlier this year, stating that it anticipated to swing back into the black earlier this year.
A demand for affordable fashion was “greater than ever,” according to Sarah Riding, retail and supply chain partner at Gowling WLG.
“Its revenue lift will likely continue in the run-up to Christmas but this is no reason to be complacent as the battle for sales intensifies across the retail industry,” she added.
Bosses must be “prepared for a potential plateau in demand as consumer confidence weakens and belts are tightened on spending,” Riding said.