Quiz PLC shares slumped on Friday as it warned its existing bank facilities could be ‘fully utilised’ in the first quarter of 2025.

The Glasgow, Scotland-based womenswear brand said it experienced ‘a marked decline’ in online and in-store traffic during November. Revenue in the four months to the end of November was down 5.7% to £24.9 million from £26.4 million year-on-year.

The company said it is uncertain what effect the UK budget announcement and the later Black Friday this year had on the ‘disappointing’ figures.

Online and in-store sales were down 8.1% and 9.7% respectively, with 11% growth in international sales helping the overall figures.

Shares in Quiz were down 41% to 3.15 pence in London on Friday morning.

The company said it has £4.0 million of bank facilities which are scheduled to expire at the end of June, with current net borrowings of £2.8 million.

Quiz said it has less headroom available than previously anticipated due to the November trading performance.

‘Subject to the trading performance during the pre-and-post-Christmas period, the group’s existing bank facilities could be fully utilised in the first quarter of 2025,’ the company said.

Quiz confirmed that its previously announced £1.0 million loan from Tarak Ramzan, the company’s founder and largest shareholder, remains outstanding and subject to approval.

The company said it is ‘reviewing the group’s financing and strategic options’ and has engaged advisors to consider options.

‘In the absence of either a material improvement to trading during the important pre-and-post-Christmas period, the majority shareholder loan being agreed and made available to the group or a combination of these eventualities, the board anticipates that additional funding will be required by the group in the first quarter of 2025.’

The company said it will provide a further update alongside its first-half results in mid-January.

‘Similar to many retailers, revenues generated across November and December are key to the performance of the business across the year. Consequently, further to the notable decline in traffic and footfall in November, sales for the eight months 30 November 2024 were behind management expectations at £52.2 million, an 8.6% reduction from £57.1 million in the previous year,’ it added.

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