Ultimate Products (AIM:ULTP) said Q3 revenues were flat year-on-year and the board expects that trading pattern to continue throughout the balance of the year, leaving Group sales marginally ahead of market expectations and profitability in line with consensus.
Unaudited Group revenues for the three months ended 30 April were £34.8m, unchanged from the prior year, with sales of UP proprietary brands up 9% to £31.5m, branded sales up 3% and a planned reduction in non-core third-party clearance sales.
The board attributed the outcome to continued subdued consumer demand for general merchandise, particularly in the UK, and an unpredictable geopolitical environment, and said the change in sales mix underpins the expectation that profitability will be in line with consensus.
"We are pleased that overall revenues were stable in the quarter, which was slightly ahead of our expectations," said Andrew Gossage, Chief Executive.
The board said ongoing investment in the Group's operational capabilities, together with the forthcoming arrival of Simon Harrison as CEO, will enable it to maximise future growth opportunities.
