Shoe Zone has seen a fall in revenue and profit, as weakening consumer confidence and unseasonal weather conditions hit the Leicester business.
According to audited results for the 52 weeks to 28 September 2024, revenue was £161.3m, down from £165.7m in the prior year.
While store revenue reduced by 6.5% to £126.1m, trading out of 26 fewer stores, digital revenues increased by 13.9% to £35.2m, driven by an increase in conversion, due to the introduction of free next day delivery on all shoezone.com orders and strong Amazon sales.
Profit before tax stood at £10.1m, declining from £16.2m, which the firm said was “primarily due to the challenging second half trading environment, as a result of unseasonal weather conditions, particularly in peak summer, higher container prices, higher energy costs, higher depreciation charges due to increased capital expenditure, and higher wage costs due to the National Living Wage increase.”
The business told the London Stock Exchange: “Shoe Zone had a good year, essentially split into two halves. The first six months saw strong and consistent trading, followed by disappointing store sales, due to the weakening of consumer confidence and unseasonal weather conditions, particularly during peak summer.
“That said, the key back to school trading in the second half was positive, and ahead of the previous year, as were Digital sales, which had strong growth for the full period.”
