Cath Kidston has had a successful start to its financial year, boosted by soaring international demand for its quintessential British fashion items.
Sales at the retailer increased by 12.2 per cent to £59.9 million in the six months to September 24, with international sales alone experiencing a 44.3 per cent surge to £18.9 million.
While the brand’s acquisition of its Japanese franchise in September 2015 hit its underlying EBITDA in the previous financial year, in the current year sales in that country increased by more than 30 per cent, partly thanks to the weaker sterling.
Cath Kidston also opened its first Indian store in October, in the Ambience mall, Delhi.
“Our international stores provide a natural hedge to the weaker sterling and we benefit from our diversification both in terms of the breadth of our customer base and the product range,” Cath Kidston chief executive Kenny Wilson said.
“We are also seeing the strength of ’Brand Britain’, as evidenced by the outperformance of our London tourist stores versus the rest of the UK.
“In the last month, we have opened our first ever stores in India and, while it is early days, we are pleased with the start so far and see great potential for the brand there. Asia continues to be a very strong market for us and we are planning more store openings in the region next year.
“We are confident that the major initiatives we have taken, including the acquisition of the Japanese business and the new product and marketing strategy, will deliver further growth.”