Ultimate Products reported a £9.4 million profit for the six months ended 31 January 2023, with a 2% increase in revenues.
Discussing the results live on Sky News, md Andrew Gossage discussed the company’s target to move 30% of sales online. The recent results showed that the online sales already represented 26% of revenue. Andrew commented: “It’s a step change and I think the board will be revisiting that target over the next month or two.
“We do think there will be some correction back on our wholesale business. We did see some of that go backwards in the period, largely off the back of higher levels of inventory in the market, which are in the process of normalising.”
Andrew said the consumer demand for energy efficient appliances is continuing: “Air fryers, heated airers, and things like slow cookers which help people batch cook [are selling well]. The consumer is being very creative in dealing with this inflation and cost of living crisis.”
Following the company’s acquisition of Petra, the first non-UK brand, Andrew revealed Ultimate Products’ strategy in terms of M&A: “Core strategy is organic growth of the brands we’ve got. Having said that, we are opportunistic in our approach to M&A and if something interesting comes along, we take a look at it.”
To read more on the first half results, click here.