Ramsdens (RFX) H1 2025 earnings summary

Executive summary

• Profit before tax rose 54% to £6.1 million for the six months ended 31 March 2025, with revenue up 18% to £51.6 million, driven by strong growth in all core income streams, especially precious metals and jewellery retail due to high gold prices.

• All four core income streams—gold buying, jewellery retail, pawnbroking, and foreign currency—delivered growth, with gold buying and jewellery retail as standout performers.

• Net assets increased to £54.7 million, with net cash stable at £7.4 million.

• Two new stores opened, bringing the total to 169, and new dedicated websites for pawnbroking and gold buying were launched, enhancing online presence.

• Board approved a 25% increase in the interim dividend and a special dividend, reflecting confidence in continued strong performance.

Financial highlights

• Revenue rose 18% to £51.6 million (HY24: £43.8 million); gross profit up 20% to £27.1 million (HY24: £22.5 million).

• Profit before tax increased 54% to £6.1 million (HY24: £4.0 million); basic EPS up to 13.9p (HY24: 9.0p).

• Net assets at £54.7 million (HY24: £47.8 million); net cash position stable at £7.4 million.

• Interim dividend raised to 4.5p per share (HY24: 3.6p) plus a 0.5p special dividend.

• Return on equity at 19% for the last 12 months.

Outlook and guidance

• Full-year profit expected to exceed £15 million following a record first half, supported by high gold prices and robust trading.

• Board confident in delivering on growth strategy and continuing to reward shareholders.

• Plans to open three new stores in H2 and target 6–8 new stores per year from FY26.

• Continued investment in digital channels and advertising to drive growth.

• Cautious outlook on gold price sustainability, with budgeting assuming a potential fall.