The former Arcadia brands and Debenhams, which were snapped up by Boohoo in 2021, have narrowed its losses after two years under the fast fashion group’s ownership.
Dorothy Perkins reported the biggest drop in pre-tax losses, narrowing from £15.9m to £1.2m in the year end to 28 February 2023, despite posting a 30% drop in sales to £52.5m.
This was followed by Debenhams, Boohoo’s largest acquisition, which shrunk its losses from £11m to £732,000 boosted by sales skyrocketing 53% to £87m.
Women’s fashion retailer Wallis was the only brand to return to profitability, posting a pre-tax profit of £1.2m, up from a loss of £4m. Sales remained flat at £27m.
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Meanwhile, menswear retailer Burton narrowed its losses from £3.3m to £1.8m last year despite its sales plunging a near 50% to £16.6m.
Boohoo said it expects revenues across all four brands “to decline as demand factors that impacted performance in the second half of the previous financial year continue to persist”.
However, it added its anticipates sales to normalise “in the second half with the company benefitting from the investments being made across price, product and proposition under our back to growth strategy”.
The fast fashion group revealed last month that Boohoo was trading in line with market expectations over the key Christmas period.
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