(Image: Supplied)
Strong demand for gold, jewellery and pawnbroking services has helped a North East financial services and retail company forecast annual profits of up to £35 million.
Ramsdens Holdings, based on Teesside and operating 179 stores across the UK, expects profits before tax for the year to September 30 to be between £32m and £35m.
Peter Kenyon, chief executive of Ramsdens, said: "Ramsdens has seen yet another solid year of progress in FY26, with full year profit set to be significantly higher than that generated in FY25.
"This performance reflects the core strength of the Group's diversified income model and our continued focus on delivering first class services to our customers, with the added benefit of the sustained high gold price supporting our precious metals division in particular."
The precious metals division was the standout performer, with gross profit doubling from £18m to around £36m.
The rise was driven by gold prices averaging 45 per cent higher than in the previous financial year.
Demand for pawnbroking loans remained strong, with the loan book growing from £11.5m to £15.9m.
Repayment rates stayed in line with historic levels, while the lending growth gave the business momentum for the new financial year.
Ramsdens’ jewellery business also performed well, with gross profit from sales up around 20 per cent on the previous year.
Growth came across new jewellery, pre-owned items and premium watches.
Foreign exchange volumes were broadly unchanged, but growth in the multi-currency card business offset a modest fall in cash transactions.
Around 60,000 multi-currency cards are now in circulation.
Ramsdens opened 10 new stores during the year, continuing its network expansion.
The new sites included an acquisition in Sheerness and branches in Wakefield, Hull, Abergavenny, Newark, Skegness, Ashford, Hereford, Peterborough and Corby.
Outlets in St Helens and Leicester are being fitted out, with more openings planned for the next financial year.
The update comes as Ramsdens faces a proposed takeover by FirstCash Holdings.
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In June, Ramsdens agreed terms on a recommended cash takeover by Chess Bidco Limited, a subsidiary of the US-based group.
A revised final offer was agreed in July, and the deal is awaiting Competition and Markets Authority approval.
Mr Kenyon said the takeover process could have distracted the business, but praised staff for maintaining performance throughout the year.