Hobbs restructure hurts bottom line but sales rebounding on summerwear success
By Yasameen Noorian

Sales rose slightly to £116.5m in the year to January, although sales have picked up with this year’s spring/summer range, the retailer said in its accounts filed at Companies House

Aug 10, 2015
/

Like

Bad news. A radical restructure saw UK women’s fashion retailer Hobbs see its losses in the year to January rise. Good news. Sales are rebounding on the success of its spring/summer offer.

A strategic review, led by chairman Phil Wrigley and new CEO Meg Lustman, resulted in a series of one-off costs that resulted in £15.6m pre-tax loss, up from a £14m loss last time.

Sales rose slightly to £116.5m in the year to January, from £115.4m a year ago, although sales have picked up with this year’s spring/summer range, the retailer said in its accounts filed at Companies House.

Hobbs closed five stores and four concessions, and wrote down the value of another six units. Other costs, including legal fees and head office redundancies hit over £0.82m.

Wrigley and Lustman are trying to turn Hobbs around for owner private equity firm 3i.

STAY UP TO DATE: You want the need-to-know news, right? Our journalists deliver a daily curation of the most important industry happenings. Sound good? Join WGSN.


Subscribe to WGSN

blog_ad2
Big data meets consumer insights. Experience WGSN.

Related stories

Burberry rejects Coach's multiple takeover offers

3 photos
eBay's latest retail pop-up tracks shoppers emotions on camera

Gilt.com Will Open 'Gilt at Sea' Retail Pop-Up For The Holidays

6 photos
The WGSN Travel A-List: Boston, Reykjavik and Kyoto

Boohoo and Nasty Gal
Boohoo and Nasty Gal = the perfect retail match?