N Brown posts flat revenues, profits to come at lower end of expectations

N Brown
The online retailer owns Jacamo, JD Williams, Simply Be, Ambrose Wilson and Home Essentials
// N Brown group sales fell 3.3% over the
// Adjusted EBITDA for the year will now sit between £93 million to £96 million, the lower end of its previous guidance

N Brown sales fell 3.3% over the golden quarter and it now expects adjusted EBITDA for the year to sit at the lower end of its previous guidance

For 18 weeks to 1 January 2022, N Brown group sales fell 3.3% to £267.6m. The group said this reflected the online market conditions and a slightly “higher level of project spend now being expensed rather than capitalised”.

Adjusted EBITDA is expected to be around £93 million and £96 million, which is at the lower end of the group’s previously guided range.

The online retailer, which owns Jacamo, JD Williams, Simply Be, Ambrose Wilson and Home Essentials, expects full year revenues for 2022 to be 1.7% ahead of the previous year at £614.4 million, which is below previous expectations.

READ MORE: N Brown Group appoints new COO to drive digital transformation

Clothing and footwear was strong during the period, up 18%, as demand increased for dresses, formalwear and outerwear.

This was offset by a reduction in home and gifts of 19%, which had previously been in high demand during lockdown.

Total active customers ended the period at 2.91 million, up from 2.87 million for the same period in the prior year, with Simply Be and Jacamo at record levels.

“The business has performed resiliently over the peak period and our colleagues have worked tirelessly to deliver for customers in challenging circumstances,” N Brown chief executive Steve Johnson said.

“Against the backdrop of Covid uncertainty, a volatile consumer environment and well-documented supply chain issues, the continued growth of our strategic brands has been particularly pleasing, as has a return to growth in active customers.

“We are now seeing more people than ever shopping with Simply Be and Jacamo. JD Williams is also resonating well with customers, particularly on the back of our successful partnerships with Amanda Holden and Davina McCall.

“We have continued to execute on our plan and, looking ahead, will continue our strategic investment to transform the business, supported by a robust balance sheet and a strengthened executive team.”

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