Quiz, the multichannel fashion retailer that floated last year, has issued a profits warning.
Quiz said lower than expected sales through third parties, the performance of its own shops and concessions, and the impact of House of Fraser’s demise would hit first-half EBITDA expectations to the tune of £1.5m. The retailer will make “not less than” £5.5m however.
Quiz also reported it has “taken the prudent assumption that should the trend in online third-party sales continue during the second half of the financial year”, full-year group revenue will be lower than the market was expecting.
Group revenue is likely to come in at about £138m and EBITDA will be approximately £11.5m.
Chief executive Tarak Ramzan maintained: “Quiz has delivered further good growth during the period despite challenging external trading conditions.
“Although online sales through our third-party partners have been disappointing and will impact the group’s performance for the full year, the changing mix towards increased own-website sales will support profitability growth moving forward.”
Sales at Quiz’s UK stores and concessions were up 9%, online up 44% and international up 16%, resulting in total growth of 19% to £66.7m.
Quiz followed in the footsteps of fellow listed market newcomer Footasylum, which also issued a profit warning last month.