Naked Wines has seen its profit and sales plunge in the year to April, after facing “challenging” trading conditions.

Total revenue for the year hit £290m, falling 13% year-on-year but in line with the online wine retailer’s expectations.

Adjusted EBIT also came in at around £5m which was at the upper end of guidance, but £10m less than what was reported back in 2023. However, it noted this hit the upper end of its previous expectations of £2-6m.

The business said it anticipated its statutory operating loss to be in the range of £13m to £18m.

Naked Wines noted its main adjusting items for the loss were goodwill and asset impairments, US inventory provisioning, its loss on early redemption of Majestic loan note, restructuring charges, and profit on sales of its previously provisioned inventor.

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Earlier this year, Naked Wines appointed former MD Rodrigo Maza as chief executive.

On the update, Maza said: “These results demonstrate the continued progress that is being made to make the business leaner and stronger.

“With higher levels of cash, a moderating decline in sales and demonstrable underlying profitability we have a strengthening platform from which to build as we continue to drive towards profitable growth.”

In recent months the business has had a tough time trading,

In March, it called in debt advisers to look at possible refinancing options as it struggled with difficult trading conditions, hiring Interpath Advisory.

It has also cut 50 jobs, including two board member roles in a bid to shore up costs.

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