Hotter Shoes records double-digit revenue growth

Unbound Group plc, the parent company of Lancashire firm Hotter Shoes, recorded a 10 per cent increase in revenues in the first six months of 2022.

Hotter Shoes, which accounts for the entirety of the group's income, increased sales from £25m in the first half of 2021 to £27.6m in the first half of this year.

The strongest growth area was retail, which showed a 72 per cent increase over the prior year. Even accounting for Covid-related closures, this still represented a 17 per cent increase. Gross profit increased by more than £2m, up to £17.5m, with operating profit just short of £1m. 

Improvements to the UK manufacturing facility and strengthening its supply chain means Hotter Shoes has more stock available and is able to react more quickly to changing trends and customer demands.

Ian Watson, chief executive officer of Unbound Group plc, said: “Unbound Group has delivered an encouraging first half performance that builds on the momentum of 2021, despite the increased challenges of high inflation and a volatile and unpredictable consumer environment.

"The combination of further growth in sales and gross margins demonstrates the effectiveness of our strategic initiatives and the value that our customers attach to our core Hotter product, giving us confidence despite the market conditions, which have become more challenging in recent weeks."

He added: "We remain mindful of the growing pressures on consumer spend. Consequently, we continue to review and adapt to the changing market conditions, maintaining our specialist focus on our core customer demographic of financially resilient 55+ consumers.”