Joules has reported its results for the 26 weeks to 28 November 2021 and like many apparel businesses, its sales had risen, in this case from £94.5m for the same half in 2020. However, its profitability had dropped due to the impact of delayed stock deliveries across both its Joules and Garden Trading businesses. Additional levies, duties and taxes had impacted its EU business and closer to home, labour shortages had led to increased costs from its outsourced distribution centre services provider.
CEO Nick Jones said: “While the group experienced strong levels of customer demand that resulted in good revenue growth against the two comparative periods, group profitability in the first half was impacted by various factors, most notably the severe inflationary cost environment.
“We have a clear plan of action to simplify the business, enhance efficiencies and mitigate the cost pressures that will enable the group to convert the strong levels of customer demand into sustainable, profitable growth.”
Overall he added that the business remains excited about its long-term growth prospects and from its category diversification through Friends of Joules and Garden Trading.
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