Updated
Updated · Teesside Live · Jun 5
Ramsdens Lifts Half-Year Profit to £16.7 Million as Revenue Jumps to £83.7 Million
Updated
Updated · Teesside Live · Jun 5

Ramsdens Lifts Half-Year Profit to £16.7 Million as Revenue Jumps to £83.7 Million

1 articles · Updated · Teesside Live · Jun 5

Summary

  • Ramsdens posted unaudited half-year pre-tax profit of £16.7 million for the six months to March, up from £6.1 million, while revenue climbed to £83.7 million from £51.6 million.
  • A 130% surge in gross profit from precious metals purchasing to £17.5 million drove much of the gain, with elevated gold prices also supporting the pawnbroker's performance.
  • Other divisions added momentum: jewellery retail gross profit rose 31% to £26.1 million, pawnbroking increased 18% to £7.3 million, and foreign-exchange customer numbers stayed strong even as total currency exchanged was broadly flat.
  • The 175-branch chain said strong cash generation is funding working capital, a higher dividend and an accelerated rollout of 8 to 12 new stores this financial year, with openings already completed in Abergavenny and Ashford.
  • Ramsdens said it remains confident despite a tough consumer backdrop and employment costs rising about 10% annually, including after adopting the Real Living Wage as its entry-level pay rate.

Insights

With profits soaring amid a cost of living crisis, is Ramsdens a financial lifeline or a symptom of a broken economy?
A rival pawnbroker collapsed by betting on gold. Is Ramsdens' diversified strategy truly enough to ensure its long-term survival?