N Brown revenues slip in Q3
Brown (N.) Group
Online retailer N Brown said on Thursday that quarterly revenues had slipped in the three months ended 31 December amid what it called "a tough environment".
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N Brown said product revenues were down 7% at £166.4m, while financial services revenues dropped 3.7% to £82.8m and overall group revenues fell 5.9% to £249.2m as cost of living pressures continued to impact its customers.
The London-listed group stated its Q3 trading performance was in line with internal expectations but noted that with peak season now behind it, N Brown expects Q4 to be softer than Q3, in its typically quietest months.
"Against this retail backdrop and assuming a continuation of the trends we have been seeing in financial services revenue and margin, we expect FY23 adjusted EBITDA to be in line with market consensus," said N Brown.
"We expect the market for UK discretionary consumer goods to be soft in calendar year 2023, particularly in the first half. This, together with the difficult trading environment in FY23, means we will commence FY24 with lower active customers year-on-year. Against this backdrop we will continue to carefully monitor consumer credit conditions whilst maintaining our focus on self-help measures through tightly managing both costs and margins, and continuing to invest in and deliver strategic change."
As of 0840 GMT, N Brown shares were down 4.10% at 25.70p.
Reporting by Iain Gilbert at Sharecast.com