Shoe Zone (AIM:SHOE) said trading continued positively through July, with cash and equivalents at 25 July standing at approximately £7m, ahead of its original budget.
Shoe Zone shares soared some 18.9%, to 72.5p, after the group reiterated guidance for an adjusted pre-tax loss of no greater than £1m for the year ending 3 October and said cash stood at about £7m on 25 July.
The footwear retailer maintained its guidance for an adjusted loss before tax of no greater than £1m for the financial year ending 3 October, a figure that excludes foreign exchange gains and losses.
The update reiterates prior guidance, with the stronger-than-budgeted cash position offering support to the outlook.
Shoe Zone's financial year runs to 3 October.
News Intelligence what this means for the company
Shoe Zone reiterated its guidance for a full-year adjusted pre-tax loss of no more than £1m for the year ending 3 October, with cash at £7m as of 25 July running ahead of budget. The update confirms the company is tracking to its prior forecast rather than improving or deteriorating the outlook; the stronger cash position provides a buffer but does not alter the loss expectation itself.
The restatement of loss guidance without revision suggests trading momentum has not yet translated into profitability, though management is prioritising liquidity and cost control while seeking to convert improved trading into a sustainable recovery. The ahead-of-budget cash position reduces near-term solvency risk but does not change the fundamental challenge of returning to profit.
Insights assembled by AI. Editor-reviewed and grounded in tickstock’s coverage and proprietary knowledge graph.
Content is for informational purposes only, not financial advice.
