The Very Group achieves revenue growth in Q1

UK-based digital retailer and financial services provider The Very Group Limited has reported a return to revenue growth and enhanced profitability for the first quarter of fiscal year 2026, ended September 27, 2025. Despite a challenging market environment, the group achieved a 2.4 percent increase in total revenue to 460.8 million pounds.

The performance was primarily driven by the flagship Very UK brand, where revenue rose 3.7 percent to 406.7 million pounds. This growth offset a managed decline at Littlewoods, which saw revenue fall 8.4 percent to 41.2 million pounds in line with the group’s strategic expectations.

Strategic categories drive margin expansion

A shift in the retail sales mix toward higher-margin categories significantly contributed to the group's financial performance. Very UK recorded strong growth in key areas. The company saw Fashion and Sports decline 1 percent, however this is an improved result compared to previous quarters. Sports offering increased by 12.3 percent and the company reported 30.1 percent improvement in casual womenswear sales, in part supported by the launch of new own brand offering The Very Collection in September 2025.

Home category revenue increased 10.9 percent year-on-year, led by furniture (up 16.6 percent) and home accessories (up 30.5 percent).

These gains helped elevate the statutory gross margin by 1.3 percentage points to 37.6 percent. The Very Group delivered a 16.3 percent increase in pre-exceptional EBITDA to 63.4 million pounds, compared to 54.5 million pounds in the same period last year. This resulted in a pre-exceptional EBITDA margin of 13.8 percent, a 1.7 percentage point improvement. Adjusted EBITDA also increased by 2.5 million pounds or 4.4 percent to 59.2 million pounds, generating an adjusted EBITDA margin of 12.8 percent.

Following the end of the reporting period, on November 10, 2025, the group announced that global investment firm Carlyle had completed a transaction to acquire 100 percent of its share capital. This transition resulted in the departure of the Barclay family directors from the board.