Clothing retailer Quiz has today warned its annual revenue would miss market estimates after weak 'Black Friday' sales and sluggish consumer demand, prompting a strategic review and sending its shares sharply lower.
Retailers in the UK saw tepid growth in November despite Black Friday deals, as the ongoing cost-of-living squeeze prompted shoppers to rein in spending on non-essential items, the British Retail Consortium said.
The food and drink and personal care product sales remain steady but spending luxury spending has staggered.
Quiz, which specialises in occasion and casual party wear and operates in the UK and Ireland, said sales for the two months to November 30 including Black Friday, totalled £14.1m, which was below its expectations.
Shares in the company dropped to a more than two and a half month low of 6 pence in early trading, becoming the top loser across London stocks.
For the year ended March 31, 2024, Quiz expects revenue to be 6-8% lower than market estimates of £86.4m, according a company-compiled consensus.
The firm also said it would launch a strategic review of the business, led by non-executive chairman Peter Cowgill, who was ousted as longtime chairman from sportswear giant JD Sports in 2022.
Findings from the review are expected to be announced in the first quarter of 2024, Quiz said.
