Greeting cards retailer Card Factory has reported a nine per cent rise in full-year profit, but disappointed investors by not announcing details on future cash return.

Shares in the company fell as much as four per cent in early trade on Wednesday on the London Stock Exchange.

The company, whose shares have risen about 50 per cent since it listed in May, said it would return surplus capital to shareholders, but did not provide details.

Investec analysts had said earlier this month that the cash return in 2016 could be in the range of £29 million to £76 million.

"The shares had risen ahead of the update and, given the lack of capital return, may trade off today," Investec analysts said in a note.

Card Factory reported an underlying operating profit of £79.4m for the year ended January 31 compared with £72.9m a year earlier.

Like-for-like sales growth slowed to 1.8 per cent from 3.1 per cent last year, hurt by declining sales of Christmas card box sets and increased promotional activity from competitors.

The company, however, said it was confident of its future prospects as the UK greeting cards industry was still growing.

"I think it's difficult not to send your mom a card on Mother's Day whether the economy is doing well or it isn't," chief executive Richard Hayes said.

More cards are bought per person in the UK than in any other country, according to trade body Greeting Card Association. Brits spent about £1.29 billion on single cards in 2013 - more than on tea and coffee put together.

"The actual physical card is a very stable and robust sector, hasn't changed significantly for many many years now and we don't anticipate it to change going forward," Mr Hayes said.

Revenue from Card Factory's personalised card and gift website, Getting Personal, rose more than 23 per cent to £15.5m.

The company declared a full-year dividend of 6.8 pence per share and said it was on track to add about 50 new stores this year to its nationwide chain of 764 stores.