// Former Arcadia brands continue to make a loss after being snapped up by Boohoo last year
// Debenhams has also remained loss-making under the etailer’s
The former Arcadia Group brands and Debenhams, which were snapped up by Boohoo last year, have continued to make a loss under the etailer’s ownership.
Dorothy Perkins recorded the largest pre-tax loss of £15.9 million in the period of 26 January 2021 to 28 February 2022 despite sales reaching £74.9 million.
Fellow women’s fashion retailer Wallis reported £27.8 million in sales for the same period making a pre-tax loss of £4 million, followed closely by menswear retailer Burtons, which made a £3.3 million pre-tax loss on £31.3 million sales.
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Debenhams, Boohoo’s largest acquisition, made a £11.7 million pre-tax loss against £56.9 million in sales in a slightly longer period of 14 January 2021 to February 28 2022.
The group acquired the department store retailer in a £55 million deal in January 2021 after it fell into administration.
It then snapped up Burton, Dorothy Perkins and Wallis in a separate £25 million deal the following month.
The online retail giant blamed falling consumer demand and rising returns post-lockdown for the disappointing performance of its newly acquired brands.
The same factors hit the wider Boohoo Group, which reported that pre-tax profits had plummeted 94% to £7.8 million in the year to 28 February 2022.
The bad run has continued into its curent financial year with Boohoo’s adjusted pre-tax profit dropping 90% to just £6.2 million in its half to August 31.
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