Cake Box cheers big rise in home delivery orders

Bakery chain Cake Box has seen sales slip due to the first lockdown, but online growth has jumped thanks to huge demand for birthday cakes to be delivered to homes.

The Enfield-headquartered AIM-listed firm had six weeks where branches were closed for the Covid-19 lockdown earlier in 2020. However, it has been able to keep sites open for the latest lockdown which came in earlier this month and lifts in December.

Revenue in the six months to September 30 decreased 2% to £8.6 million and pre tax profit was 4% lower at £1.7 million.

But chief executive Sukh Chamdal said recent trading had been encouraging with comparable sales in the second week of November up 2%, even when high street footfall was weak due to the lockdown.

Chamdal also pointed to first half online sales surging 51%, helped by new home delivery services via Uber Eats, Just Eat and Deliveroo.

He added that birthday cakes were the most popular choice online.

Cake Box, which has 139 stores, said the interim dividend rose 15% to 1.85p.

Chamdal said: "We have shown considerable resilience during an unprecedented half year period and have emerged a stronger business for it.”