London department store Liberty’s EBITDA increased in its last year as footfall continued to improve, however profitability lagged behind pre-pandemic levels.
EBITDA before one-off costs swung into the black at £3.96m for the year to 28 January, against a £3.53m loss in 2021/22.
Sales rose by a stellar 42% as its flagship store was closed for three months due to Covid restrictions the prior year.
However, profits were well behind the £14.4m generated in pre-Covid.
Operating profits nosedived from £2.4m last year to just £22,000 at the luxury retailer, due to exceptional costs as it was hit by an impairment reversal of around £11.5m the prior year.
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Liberty said that trading was “more representative of pre-pandemic levels” as footfall improved over the year. It pointed to the “resilience” it showed over Christmas in the face of high level of inflation and growing concerns about rising living costs.
The retailer said that all categories “performed well” and noted that Liberty-branded products outperformed third party brands.
It highlighed the record sales of its Liberty beauty advent calendar and its Beauty Drop subscription service.
Its ecommerce business continued to grow, despite the contraction in online shopping across the wider market.
Liberty made efficiency improvements to its website over the year as it focused on improving the EBITDA contribution from ecommerce.
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