Procook store expansion strategy leads to ‘strong’ full-year results

The kitchenware brand says it has outperformed the market

Kitchenware brand Procook has reported a strong fourth quarter as it continues to invest in new branch openings around the UK. The Gloucestershire-headquartered retailer saw a 19.2 per cent rise in revenue to £18.5m for the 12 weeks to the end of March, driven by sales online and in store.

The results mean the company posted full-year revenue of £85.5m, ahead of market expectations, and up 23 per cent year on year and 11.8 per cent on a like-for-like basis. EBITDA – a measure of performance – is estimated to be slightly ahead of expectations for the full year.

Procook told investors on Tuesday (April 14) it had “outperformed” the UK kitchenware market by more than 13 percentage points during quarter four, and by more than 20 per cent across the full year. It also said operating profit was set to be in line with expectations.

The brand opened three new stores in the fourth quarter, increasing its total UK retail estate to 78 branches, of which eight are now in a new bigger format. Last year, the company, which sells cookware, tableware, electricals and kitchen gadgets, spent £5.3m on store openings as it looks to target 100 outlets in the UK.

Lee Tappenden, chief executive of Procook, said: “We have delivered a strong fourth quarter and full year performance, significantly outperforming the market and improving profitability, whilst accelerating investment in our new store opening programme.

“Strong revenue growth across both our expanding store footprint and online reflects substantial increases in new customers attracted to our brand and repeat purchases, demonstrating that our unique product proposition and service focus is really resonating with consumers.”

Mr Tappenden said while the business was “mindful” of the potential macroeconomic effects of any protracted geopolitical instability, it would “look forward” to building its market share.

“Our ongoing store openings, initiatives to increase brand awareness, and disciplined investments to support growth, position us well to deliver on our medium term ambition of 100 stores, £100m revenue and 10 per cent operating profit margin,” he added.