Card Factory outpaces market with strong FY25 growth
Card Factory has posted a solid financial performance for the year ending 31 January 2025
Card Factory has posted a solid financial performance for the year ending 31 January 2025, with revenue rising by 6.2% to £542.5m, outpacing the wider celebrations market.
The greeting card and gift retailer continued to build momentum across its store estate, with total store revenue growing by 5.8% and like-for-like store sales rising by 3.4%. The expansion of its product ranges, particularly in gifts and celebration essentials, helped drive a 5.4% increase in average basket value.
The business also benefited from a capex-light space optimisation programme, which allowed for expansion into categories like confectionery (+25%), soft toys (+22%), and stationery (+18%).
Adjusted pre-tax profit increased in line with expectations, supported by stable margins and the ongoing delivery of its efficiency and productivity programme. Basket values were up 6.7% year-on-year, with around half of all purchases now including non-card items.
CEO Darcy Willson-Rymer said: “We’ve delivered strong revenue and profit growth while continuing to outperform the broader celebrations market. Our customers are responding well to expanded product ranges and our compelling value offer, which remain at the heart of our strategy.”
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Card Factory continued to build momentum online, though total like-for-like sales at cardfactory.co.uk remained flat year-on-year.
The retailer announced the closure of its loss-making personalised gift site, gettingpersonal.co.uk, at the end of January 2025. This decision is part of its strategy to refocus on driving more profitable online growth through its core cardfactory.co.uk site.
International expansion was also a highlight, with acquisitions in Ireland and the US bolstering its footprint. Its wholesale model gained traction globally, securing a major partnership with a US retailer covering over 1,100 stores and extending agreements with Aldi in the UK and The Reject Shop in Australia.
Willson-Rymer added: “With a strong balance sheet and robust operating cash flow, we’re confident in our ability to invest in future growth. Our omnichannel strategy is progressing well, and we see significant potential in international markets as we transition from card specialist to global celebrations destination.”
Full-year adjusted pre-tax profit is expected to meet market expectations, ranging between £65.7m and £67m.
Looking ahead, the retailer expects adjusted profit before tax to grow by mid-to-high single digits in FY26.
Inflationary cost pressures—mainly due to increases in National Living Wage and National Insurance—are expected to add £14m in costs, which Card Factory aims to offset through pricing, range optimisation and productivity gains.
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