Victorian Plumbing shares plunge more than a third following earnings caution
Online bathroom retailer Victorian Plumbing had its share price plunge more than a third today, after cautioning investors of flatter earnings in the year ahead.
Revenue lifted nearly 30 per cent to £268.8m in the year to September 30, while its adjusted earnings jumped over 50 per cent to £40.1m.
However, the company had warned shareholders that its adjusted earnings could be closer to 2020’s figure – around £26.2m.
Although total orders and average order values have also grown 17 per cent and 10 per cent respectively over the past 12 months – investors were left unconvinced by the retailers position, with shares sinking more than 37.3 per cent to 97.1p per share.
The online bathroom retailer, which listed on the London Stock Exchange in June, assured shareholders that although there were subdued market conditions after lockdown eased, the pandemic-induced shift to online shows no sign of stopping.
CEO and founder Mark Radcliffe said: “Although the short-term outlook is difficult to predict as the world normalises from the events of the last two years, it is inevitable that consumer buying behaviour will continue to move online.
“This has been a milestone year for Victorian Plumbing as we accelerated our growth, supported by the continued dedication and agility of colleagues around the business, and successfully completed our listing on the London Stock Exchange.”