// Joules and Asos both take hits to the business as retailers in the UK struggle amid soaring inflation and shifting shopping habits
// Joules is set to make a significant loss in the first half of the year after sales plunged
Following profit warnings and poor sales, Joules’ leading credit insurer Allianz Trade, formerly Euler Hermes, has pulled cover for suppliers to the struggling British lifestyle retailer, the Sunday Times has reported.
Meanwhile, Asos has also indicated to analysts that sales in the coming year were likely to fall below consensus forecasts for 9.8% growth, leading one analyst to say they were “slightly uneasy” at the way it was managing expectations.
A source close to Asos said pre-close calls were routine and no non-public information was shared.
The online fashion giant issued a profit warning in June, blaming inflation and more shoppers returning items. Meanwhile interim boss Matt Dunn, who has since revealed his intention to leave the fashion retailer, warned of ‘a change in consumer sentiment’.
However, the online retailer said that its supply chain operation “is functioning well against the backdrop of unprecedented global disruption in our markets”.
