By Elric Langton | 10 April 2022
I have a financial interest in Ramsdens
Strong momentum across all segments drives a profitable first-half performance.
Ramsdens Holdings PLC (RFX) is commonly referred to as a pawn shop. It is a financial services provider and retailer, operating in the core business segments of foreign currency exchange, pawnbroking & logbook loans, buying and selling precious metals and retailing of second hand and new jewellery through its network of 127 stores throughout the UK, including three franchised stores, and has a small and growing online presence.
I first reported on Ramsdens in February 2021, believing that the company had a reasonable prospect of a recovery post-COVID-19 pandemic. At the time, it was a risky play because it too was operating under lock-down restrictions; the primary concern then was for its currency exchange - nobody was travelling, therefore, the currency exchange. Nevertheless, it was the right play, as can be seen from the chart, and Friday’s trading update for the interim period ended 31 March 2022, which has been a strong performance across each of its four segments. As a result, the Group expects to report H1 profit before tax of approximately £2m.
