New Look revenues decline amid tough trading conditions

New Look’s accounts for the full year show that total revenue declined to 735.4 million pounds due to store closures and tough trading conditions.

The company’s operating profit rose to 17.4 million euros but adjusted Ebitda decreased to 46.7 million pounds following reduction in year-on-year sales but boosted by targeted cost savings. The statutory loss before tax decreased to 3.7 million pounds. Gross margin for the year however increased to 48.7 percent.

New Looks’ UK and ROI retail sales decreased to 538.5 million pounds driven by the challenging trading environment caused by the ongoing cost of living pressures along with multiple store closures in the year.

E-commerce sales remained positive at 217.5 million pounds as the company said that it leveraged the flexibility of the online platform to offer attractive discounts and promotions. Despite this, e-commerce experienced comparable challenges to UK and ROI retail regarding customer sentiment and sales with 3rd party e-commerce partners decreased to 24.2 million pounds.

After completion of the CVA, the company ended the year with 356 stores compared to 386 stores in 2023.

Commenting on the outlook, the company said that it is confident in the strength and appeal of the New Look brand and its ability ‘to inspire that New Look feeling’. It is optimistic about the future and committed to delivering value to the customers.