Cake Box' Positive Momentum Continues Into New Year; Chair Nilesh Sachdev to Step Down

By Ian Walker

Cake Box Holdings has seen continued positive momentum over the first half of the new fiscal year and is on track to meet revenue market forecasts for the year as a whole.

The London-listed cake retailer also said Tuesday that Nonexecutive Chairman Nilesh Sachdev plans to step down in November to concentrate on his commitments outside the group. The board plans to start the search for his replacement.

Cake Box said that franchisee store like-for-like sales for the 17 weeks ended July 30 were up 6.8% compared with growth of 5.4% for the first 11 weeks.

The company said that it has continued to maintain tight cost control and taken proactive action to minimize the inflationary impacts on its input and administrative costs.

The company hasn't provided any forecasts for the year. However, adjusted pretax profit--one of its preferred metrics which strips out exceptional and other one-off items--is forecast to be 5.8 million pounds ($7.4 million) for the year ending March 31, 2024, compared with GBP5.4 million for fiscal 2023.

Revenue is forecast to be GBP38.05 million compared with GBP34.80 million. Both forecasts have been taken from FactSet and are based on two analysts estimates.

Write to Ian Walker at [email protected]

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