// Prettylittlething posts revenue of £712.2m for the 12 months to February 28, 2022, up from the £710.1m
// The fast fashion giant said returns had risen back to their pre-pandemic levels
Sales at PrettyLittleThing are up, although profits have fallen for the financial year to February 28, 2022 following a slowdown in international sales and a rise in return rates.
The Boohoo-owned fashion retailer also warned that the cost of living crisis could hit its sales and said high inflation and cost pressures on consumers “may impact demand in the short term”.
PLT posted revenue of £712.2m for the 12 months to February 28, 2022, up from the £710.1m it achieved in the prior year.
Although, the company’s pre-tax profits fell from £98.7m to £75.1m over the same period.
Sales in the UK increased by 6.4% during the year and 0.1% in the USA but dropped by 13.8% in the rest of Europe and 21.3% in the rest of the world.
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PrettyLittleThing said its pre-tax profits were impacted by £11.6m of costs related to the automation of its Sheffield warehouse, a £125m project.
A statement said: “The company has achieved a good performance with revenues increasing in the UK and USA while revenues have declined in rest of Europe and rest of world.
“Revenues in the UK and USA have remained resilient despite the easing of lockdown restrictions in the second half of the financial year, and despite returns rates in the second half of the year returning to pre-Covid-19 levels.
“Consumer demand in Europe and rest of world has remained subdued as lockdown restrictions eased and we saw returns rates continue to increase.”
PrettyLittleThing added: “The market for online fashion is forecast to continue to grow in the medium term. The current economic climate of high inflation and cost pressures on consumers may impact demand in the short term. Customers throughout the world are expected to continue to seek quality product that represent value for money.
“Our strategy will be to use a combination of marketing to drive new customer acquisition and promotions to secure sales, all the while supported by the most convenient delivery and return options and high level of customer service.
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