Cotton Traders annual results strengthen, prospects are "very good"
Cotton Traders has filed its results for 2021 with the omnichannel retailer saying EBITDA for the year rose 121% to £12.261 million.
This was boosted by the continued switch to online shopping, but also reflects the group's “commitment to promoting the brand by continuing, and in some cases expanding, the levels of promotional advertising”.
The group also made a profit after tax of £8.34 million, up from £3.315 million a year earlier. Revenue during the 52-week period that ended on December 25 2021, was £100.794 million. This was up from £87.104 million in 2020, despite the ongoing effects of the pandemic during its 2021 financial year.
The company also said that its future prospects are believed to be “very good”.
This all came after it continued to invest in its distribution centre with more tech/machinery to boost capacity and efficiency, while also spending on marketing that took in TV coverage in both the spring and autumn seasons.
Part of its aim in launching various campaigns has been to continue to lower the average age range of its customers, although at the same time, it's working to ensure it isn't alienating any of its existing customers as it continues to provide the classic range of clothing that's popular with them.
During the period covered by its accounts, the company closed three stores that had reached the end of their leases and opened five new ones that bought its estate to a total of 81.
It also signed off on further investment in the home, accessories and underwear categories after "high demand and success in these areas". It said that many of these products are incremental to a customer's order and so increasing its range gives them a wider selection to purchase and increases the average order value.
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