Card Factory to invest in Yorkshire factory after strong performance in store-based sales

Mr Willson-Rymer told The Yorkshire Post that the Card Factory was successfully navigating cost pressures and was making positive progress with its strategy.

Total group sales for the full year were £463.4m, an increase of £99m compared with the previous year. The company has also signed a long term master franchise agreement with Middle East-based, Liwa Trading Enterprises, who will act as its exclusive franchise partner in the region. The partnership will lead to the opening of around 36 Card Factory branded stores in the Middle East.

Mr Willson-Rymer added: "I have been incredibly pleased with our performance this year which has been ahead of expectations.

"These strong results reflect positive momentum across the business, including notable progress on our strategic growth initiatives, buoyed by the marked shift of customer spend back towards the high street. “Revenue growth has been underpinned by a strong performance of store-based sales and everyday card ranges, alongside strong trading through the Christmas season, with new ranges and our compelling value for money offer clearly resonating with customers, driving both store transactions and average basket values.

He added: “While remaining mindful of the ongoing impact of the cost of living crisis on our customers, we are confident that we are well positioned to make good progress in our transition to becoming the market leading omnichannel retailer of cards and gifts."

In a statement to accompany the results, Card Factory said that trading in the first weeks of the new financial year has been encouraging and slightly ahead of the board's expectations.

The statement added: "Both everyday and seasonal ranges have performed strongly across cards and gifts during this time, with our offer across our FY24 spring seasons of Valentine's Day and Mother's Day also landing well with customers, resulting in a robust performance.

“As we look ahead, we continue to have confidence in our ability to mitigate cost inflation through a combination of productivity initiatives and targeted price actions. This approach, together with our clear growth strategy and compelling value-led proposition, gives us confidence the group will continue to make strategic and financial progress in the year ahead.

“As part of our Capital Markets strategy update, we will outline a pathway for revenues of around £650m and margins around 14 per cent in FY27 (full year 2027), supported by a capital investment plan of £24m per annum, over the next three years.”

Card Factory said it was continuing to focus on growth in underpenetrated markets. It has opened three small format trial stores in central London and has also continued its expansion in the Republic of Ireland.