AGM Statement and Trading Update

RNS Number : 3651M

Gear4music (Holdings) PLC

28 July 2017

 

28 July 2017

Gear4music (Holdings) plc

AGM Statement and Trading Update

Gear4music (Holdings) plc ("Gear4music"), the largest UK based retailer of musical instruments and music equipment, will hold its Annual General Meeting at 11.30am today.

At the meeting Gear4music's Chief Executive Officer, Andrew Wass, will make the following statement:

"I am pleased to report that Gear4music's trading performance in the financial year to date is in line with the Board's expectations. UK and International revenue growth has continued to be strong relative to a very strong H1 FY17, and our new European distribution centres are materially improving our customer proposition in Northern Europe. We anticipate further momentum in European sales during the second half of the financial year.

Our strategy of investing to deliver long term growth remains on track, and was further bolstered in May 2017 when we raised £4.2m of additional growth capital in an oversubscribed placing. I would like to thank our existing and new investors for their support.

As previously outlined, the current financial year is expected to follow a more typical seasonal trading pattern, with a higher proportion of sales and profits being generated during the second half of the year than was the case in the previous year. Also, as previously notified, the first half of the current financial year will include the costs of embedding our new European distribution centres and setting up our recently acquired Head Office in York. Based on the overall performance of the business during the financial year to date, the Board is confident of another year of good progress."

The Company will announce a trading update in relation to the six months ending 31 August 2017 in early September 2017, followed by the full half year results in October. 

- Ends -

For further information, please contact

Gear4music                                                                                                                                        [phone]

Andrew Wass, Chief Executive Officer

Chris Scott, Chief Financial Officer

Panmure Gordon                                                                                                                             [phone]

(Financial Adviser, Nominated Adviser and Broker)

Andrew Godber / Peter Steel - Investment Banking

Erik Anderson / Tom Salvesen - Corporate Broking

MHP Communications (Financial PR)                                                                                     [phone]

Andrew Leach

Simon Hockridge

Pete Lambie

Background to Gear4music

Operating from a Head Office in York, showrooms in York and Sweden, and Distribution Centres in York, Sweden and Germany, the Group sells own-brand musical instruments and music equipment alongside premium third-party brands including Fender, Yamaha and Gibson, to customers ranging from beginners to musical enthusiasts and professionals, in the UK, Europe and, more recently, into the Rest of the World.

Having developed its own e-commerce platform, with multilingual, multicurrency and fully responsive designs websites covering 19 countries, the Group has rapidly expanded its database and continues to build its overseas presence.

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014. 

 

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