ProCook sees revenues and profits rise in FY24

ProCook has reported underlying PBT of £1m and total revenues of £62.6m, up 0.4% for the 52 weeks ended 31 March 2024. According to ProCook, this growth reflects improved gross margins and “strong cost discipline” despite significant inflationary cost pressures. Although LFL revenue decreased by 2.0% YoY, the group’s LFL retail revenue grew by 2.8%. ProCook attributed this growth to its new product launches and continued focus on customer service. LFL ecommerce also declined by 8.7% primarily driven by disruption from the transition to ProCook’s new website platform which was completed during the year and is now delivering stronger conversion rates and reduced time to develop new customer features. It stated that its gross profit margin also improved as expected, following higher supply chain costs and foreign exchange impacts in FY23, whilst improving value for customers through meaningful price cuts on approximately 40% of the range during the year. The company also acquired 687,000 new customers in FY24 and reported a 5.6% increase in active customers to over one million customers. Additionally, the group opened two new stores in Trafford Centre and Watford and one upsize relocation in Cheshire Oaks during the year. Looking ahead, in FY25 the group expects to deliver modest revenue growth, primarily driven by a recovery in ecommerce sales following the disruption last financial year, and the planned opening of ten new stores in the year. Despite the continued macroeconomic and geo-political challenges, the group’s refreshed strategy and strengthened customer focus, ProCook revealed it is beginning to deliver “improved performance and has the opportunity and a clear plan to accelerate this further” CEO Lee Tappenden said: "We have made good strategic progress and improved our trading performance throughout the last year, growing revenue, returning to profitability, and reducing net debt through positive cash generation. "Our unique direct-sourced and own-brand specialist proposition which offers high quality products at unbeatable value, with outstanding customer service, resonates very well with customers.” He added: “This, combined with our strong foundations and a fragmented marketplace, provides a significant opportunity to raise brand awareness, expand our customer base, and increase our market share. We have a clear plan to accelerate profitable growth and we are focused on building a stronger customer-focused business that will support our growth ambition. "Our performance during the first quarter of FY25 demonstrates continuing momentum, and, whilst the market remains subdued and uncertain, we are confident that we can build on our recent performance, delivering sustainable and profitable growth for all our stakeholders in the current financial year and beyond."