British lifestyle brand Crew Clothing has reported a 13 percent drop in turnover for the year to December 27 2020 as the pandemic took its toll on the business.
The company’s turnover came in at 59.26 million pounds, down from the 67.88 million pounds it posted the year before.
Crew Clothing said its e-commerce business performed “strongly” but was not enough to make up for lost sales through its retail and wholesale businesses which were significantly impacted by the UK’s multiple lockdowns during the period.
Profits fall at Crew Clothing
Adjusted EBITDA during the period fell 8.9 percent to 8.88 million pounds, while profit after tax dropped 38.5 percent to 5.41 million pounds. It said the significant loss it made through store closures was slightly offset by government support during the pandemic.
Looking ahead, Crew Clothing said it remains “cautious” in its trading outlook but believes it is still “capable of further expansion despite widespread difficulties across the UK retail sector”.
It said it maintains “a disciplined approach to promotions to benefit our margins and working capital and further maintain the integrity and strength of the brand”.
It added that it deems Brexit “low risk”, as the importing of goods from the EU is not significant for the business.
It also said that “a significant challenge is attracting new and retaining existing customers in a very competitive and promotional retail environment”.