The Hut Group and Very post record surges in Christmas sales

The Hut Group recorded a 51% jump in sales in the quarter to December 31, ahead of previous guidance on sales growth during the period of between 40% and 45%.

As a result of this strong sales performance, which was driven by a 66.2% spike in sales across its beauty division, the online retail group has upped its full-year forecast for the third time since debuting on the stock market in September. 

The Hut Group now expects to deliver full-year sales growth of between 30% and 35%, driven by sales momentum and expected contribution from recent acquisition Dermstore, up from previous sales growth forecasts of between 20% and 25%.

The online retail group added 3.5 million new active customers during its fourth quarter, with 10.7 million added over the full year overall. 

The Hut Group also delivered a 144% uplift in sales across its Ingenuity platform, which provides an ecommerce framework for third-party brands.

The Very Group posted a 25.5% uplift in sales in the seven weeks up to and including December 25, its strongest Christmas sales performance on record.

The etail group’s sales momentum was bolstered by 46.2% and 44.8% jumps for home and electricals sales respectively, alongside a 49.7% jump in site visits over the festive period to 139m.

More than half a million new shoppers spent with The Very Group during the period, up 25.5% year on year and driven by a 33% climb in sales made via the group’s mobile app year on year.

The etail group’s retail sales over the extended Black Friday period of November 6 to December were up 25.8% year on year, representing the group’s best ever Black Friday period.

Chief executive Henry Birch said: “We are delighted with Very’s outstanding performance, which shows UK families were more determined than ever to celebrate this Christmas, despite all the challenges of 2020.

“Because we sell everything our customers could possibly want except food, are online only and offer a range of payment options, we were perfectly placed to help a record number of people make the most of the festive period.”