Following today’s release of The Work’s figures for the six months ending 2 November 2026; Charlotte Chilcott, retail analyst at GlobalData, a leading intelligence and productivity platform, offers her view: “The Works has delivered a strong first half, as its simplified store-focused model yields results and its screen-free proposition continues to resonate with families. Total sales from continuing operations rose by 10.1% to £128.8m, an impressive headline figure. However, including discontinued operations, total sales grew by a more modest 4.0%, showing that the loss of online sales has dampened overall growth. L-f-l sales grew by 9.8%, outperforming the wider non-food market and indicating that The Works is taking share from competitors such as TG Jones, rather than riding a rising market. The Board has raised FY27 pre-IFRS 16 Adjusted EBITDA guidance to at least £17.0m, its second upgrade this financial year, signalling confidence in demand and profit margins ahead of the Christmas trading period. Its share price rose 5% in early-morning trading, building on a 70% improvement over the past six months, highlighting the strength of its recovery.
“Sales growth was recorded across all four core categories of books, arts & crafts, toys & games, and stationery, supported by strong Back to School and Halloween trading. Growing concern over screen time is boosting demand for the offline pastimes at the centre of The Works’ brand, with over half of consumers reporting they have undertaken some form of digital detox to spend more time offline, according to GlobalData’s June 2026 monthly survey of 2,000 respondents. With household budgets under pressure from rising energy and fuel costs this winter, The Works’ affordable pricing appeals to families seeking value on treats, activities and gifts this Christmas season.
“Following the closure of its website in March 2026, The Works now operates solely through its physical store estate, removing the drag on profitability and allowing management to focus on store investment. Although the decision was driven by the losses and logistical problems of the online operation, a store-only model sits naturally alongside the screen-free proposition. The retailer ended the period with net cash of £3.5m, compared with net debt of £5.3m a year earlier, an improvement of £8.8m driven by tighter stock management and higher product margins, which edged up to 62.7% from 62.5%. This stronger position gives The Works flexibility to invest in stock and seasonal ranges heading into Christmas and supports the £6.0m systems transformation programme planned over the next four years.”
