Cake Box shares sweeten after maiden results

Specialist baker Cake Box (LON:CBOX) has reported that its revenues rose by 33% during the year ended 31st March. Pre-tax profits for the company’s first year listed on AIM were up by 14% as flotation and listing costs ate into earnings. Management said that they were pleased with trading so far this year and that the company had a strong pipeline of new store openings.

CEO Sukh Chamdal commented: “In the year Cake Box celebrated its 10th birthday, I’m delighted to be announcing such a strong set of maiden full year results as a listed business. In just a decade, we have developed a unique proposition and a much-loved national brand which has significant potential for significant further expansion, as we look to introduce more customers to our fabulous fresh cream cake offering.

“These results demonstrate the continuing appeal of the Cake Box brand, to both customers and franchises, combined with the financial strength of the Group, particularly the strong cash generative nature of our business model. In the past financial year, we have made good progress with our strategic priorities of new store growth, growing our existing stores, introducing new products lines and developing our digital marketing. We are pleased that our geographical spread has increased but there remain plenty of regions where we are confident there is still significant scope for expansion“.

Cake Box’s share price rose by 2.55% to 170.75p (as of 12:30 BST).