Wakefield-based greeting card and gift retailer Card Factory reported higher sales in the first half of the year and said it saw second half performance in line with expectations as it gears up for its key Christmas selling season. 

The UK’s leading specialist card retailer reported first-half revenue of £233.8 million, up 6% from a year ago. Profit before tax fell to £14 million from £24.7 million a year ago, which the company said was due to increases in the UK’s National Living Wage, freight inflation and phasing of strategic investments. 

Card Factory said trading since the period end has been in line with the first half, with preparations for Christmas underway. 

“Albeit we are yet to trade through the key Christmas period, the strong topline performance in the first half, combined with our robust actions to mitigate inflationary pressures, means that our expectations for the full year are unchanged,” the company said. “Over the medium-term the Board remains confident in seizing the compelling growth opportunity for the business, which will help deliver on our FY27 targets which remain unchanged.”

Darcy Willson-Rymer, Chief Executive Officer, said: “As we move into the second half of the year and the important Christmas trading period, our expectations for the full year are unchanged and we continue to focus on managing inflationary pressures within the business.”

“Our strategic growth ambitions are underpinned by a robust balance sheet and strong cash flow, alongside our disciplined approach to managing working capital and focus on driving efficiencies and productivity across the business. Moving forward, we believe we are well placed with a strong proposition that resonates with a broad customer base and delivers an unrivalled quality, value and choice offering.”