Gear4Music H1 operating losses narrow

19th Nov 2024 09:33

(Sharecast News) - Music equipment retailer Gear4music said on Tuesday that operating losses had narrowed in the six months ended 30 September on the back of its latest growth strategy.

Gear4music said operating losses had improved from £900,000 in H124 to £500,000 in H125, while underlying earnings rose by £500,000 to £2.9m and pre-tax losses narrowed from £1.9m to £1.2m. Gross margins contracted 40 basis points to 26.7%.

The AIM-listed group stated total revenues were down 1% at £61.7m, with UK revenues up 6% at £38.7m and European and ROW revenues falling 12% to £23.0m.

Looking forward, Gear4music said it was now "well positioned and prepared" for the upcoming peak seasonal trading period and added that its full-year outlook remained in line with consensus expectations.

Chief executive Andrew Wass said: " We are pleased to report progress in executing our refreshed growth strategy announced in June 2024, resulting in improvements in our financial performance during FY25 H1."

As of 1025 GMT, Gear4music shares were down 3.23% at 150.0p.

Reporting by Iain Gilbert at Sharecast.com