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Barbara Santamaria Published
October 9, 2025
Fashion and homeware value retailer Matalan increased revenue by 5.8% to £259.9m in the second quarter helped by a strong rise in full price sales, it announced on Monday.
In the 13 weeks ended 26 August, the company saw full-price sales increase by 19.6% as it continued to focus on increasing its sales to improve profitability.
The strategy paid off, with EBITDA growing from £15.4m to £22.7m during the quarter.
CEO Jason Hargreaves said: “The strong second quarter results round off a spring/summer season where the business has delivered well for customers. We have inspired and engaged with an offer that performs well at full price, providing great design and quality, always at outstanding value. In uncertain economic times, this has really resonated with customers.
“The full priced sales mix has increased significantly and we are buying and trading at stronger margins. Our operational execution and efficiency has been disciplined. As a result, we have significantly shifted our operating margins and driven a strong performing core business.”
In its effort to increase sales, the value-focused retailer refreshed 24 stores with a better use of space enabling extended ranges and greater choice. According to Hargreaves, these stores are performing “very well” and will be followed by other rollouts across the estate.
The online channel continues to be strong, with growth accelerating as more customers take advantage of the company’s click & collect service, which is “proving to be extremely popular”. Matalan said the launch of its new e-commerce platform was successful and will continue to develop functionality and the customer experience through the autumn/winter season.
“As we enter the second half of the year we are pleased with how the business is progressing and have seen a good early reaction to the autumn ranges as well as launching our new lighting offer. Our focus remains on delivering outstanding product and value whilst improving the journey for customers. We believe this will position us well in what continues to be a challenging retail environment,” said CEO Jason Hargreaves.