ScS shares rise as it gains market share

Shares of Sunderland-based furniture and floorings retailer ScS Group rose as much as 11% after it said in an AGM trading statement it is “trading resiliently through what continues to be a challenging period.”

ScS said like-for-like order intake has seen an improvement in recent weeks, with trading ahead of the prior year.

The company also announced a new share buyback programme of up to £3.1 million.

“Total like-for-like order intake for the 16 weeks to 19 November 2022 is down 9.1% due to the reduction in orders in the first ten weeks to 6 October 2022, when the comparative period benefited from strong pent-up demand following the last national lockdown,” said the Sunderland firm.

“The group is also pleased to see that we have continued to gain market share over the period.

“The balance sheet remains strong, with closing cash at 19 November 2022 of £89.7m and no debt.”

In its outlook, ScS said: “The board is encouraged by the group’s recent performance and current trading is in line with its expectations for the full year.

“The group is preparing for the important winter sales trading period and, as always, its success will be a key factor in the results for the full year.

“The business is planning to approach the winter sales period in a manner consistent with that which has proved successful in prior years.

“We are mindful of the challenges of the current economic climate.

“Trading remains difficult to predict, but we believe our refreshed strategy, strong cost management and robust balance sheet places the group in an excellent financial and operational position.”