Luxury department store group Fenwick reduced its losses in its latest financial year, as it focussed on its revenues and margin.
The business reduced losses by £16.2m to £35.5m for the year to 31 January, Retail Week reported. Sales fell by more than £7m to £177m.
Fenwick sold and stopped trading from its shop on London’s Bond Street over the period. Taking this into consideration, sales increased by 4.7% or 3% on a like for like basis, while gross margin was 44.2%.
Fenwick noted “particularly strong sales growth” of 7.6% over its second half of the year.
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The retailer, which launched a new loyalty programme last month, repaid its £60m loan facility over the period, leading to a debt-free balance sheet as well as £84.9m of cash reserves.
Fenwick said that its annual performance demonstrated the “effectiveness of its three-year strategy focused on sales and margin growth while driving cost efficiencies”.
Fenwick chair Sian Westerman said: “These results mark important progress as we continue to reshape the business for long-term sustainability.
“The strategic changes underway are beginning to take effect, and the board remains confident in the direction being taken.”
She added: “While the retail environment remains challenging, Fenwick is becoming a more focused, agile business with a clear plan for profitable growth.”
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