Indigo Books & Music is reporting strong growth numbers for its 2014 fiscal year, ended March 28.
The book and gift seller showed an increase in overall revenue – $895.4 million, up from $867.7 million in 2013, an increase of $27.7 million. Despite the closure of eight stores, revenue from Indigo- and Chapters-branded locations increased 6.8 per cent, while the smaller Coles and Indigospirit chains showed an increase of 0.8 per cent.
Although the past year saw no major hit book titles, the company’s gift and toy offerings – which expanded to include the popular American Girl dolls – experienced double-digit growth. The company’s increased overall growth, combined with lower operating expenses, reduced Indigo’s net loss for the year significantly, to $3.5 million, down from $31 million last year.
Overall, Indigo’s fourth quarter saw revenue of $186.2 million, up $1.9 million from the previous Q4. The quarter’s net loss was $13.9 million, down slightly from the $14.4 million loss of the same quarter in 2013. Indigo’s website also saw its online retail increase by 11.8 per cent.
“We’re pleased with our full year results, which confirm we are moving out of transformation and into growth mode,” CEO Heather Reisman said in a release announcing the results. In a note to shareholders in Indigo’s annual report, Reisman added that, after a four-year hiatus, the company would begin to examine opening new stores.