Joules posts profit rise as ecommerce growth offsets store closures

Joules notched up profit before exceptional costs of £6.1m last year, versus a loss of £3.9m the year before. 

Sales rose 4.3% to £199m as strong online growth and the contribution from new acquisition Garden Trading more than made up for the impact of closed shops and the pandemic’s impact on wholesale. 

On a statutory basis, pre-tax profit was was £2m in the year to May 30, compared with a loss of £24.8m a year earlier.

Ecommerce represented 77% of Joules’ retail revenue, up from 56% the previous year, while sales from stores and country shows – a traditional channel for Joules – slid from £63.2m to £36.6m. 

Joules chief executive Nick Jones said: “It is safe to say that FY21 was characterised by truly unprecedented trading conditions. Against this backdrop, the group delivered strong strategic progress, including growing our digital proposition, increasing our active customer base, and further diversifying as a leading lifestyle platform with the successful acquisition of Garden Trading and the continued expansion of [marketplace] Friends of Joules.

“At the centre of our growth strategy remains the strong Joules brand. During the year we continued to deliver on our brand’s clear mission and purpose – to brighten our customers’ lives and conduct business in a responsible way.

“As more and more consumers increasingly valued their leisure time spent outdoors and time doing the things they enjoy with the people they love, our brand has become increasingly relevant to a greater number of customers, reflected by brand health metrics reaching all-time highs.

“As we move into the new financial year, the continued success and growth of Friends of Joules and our strengthened position in the home, garden and outdoor sector means that the group now offers significantly more products and categories than ever before, therefore providing customers with greater choice and more reasons to shop with us.”