Sweaty Betty swings to modest profit in 2024 amid rebranding

Activewear brand Sweaty Betty reported a slight profit of 573,586 pounds during 2024, swinging back to black after previously reporting a loss of 10.55 million pounds in the year prior.

In a filing with the UK’s Companies House, the brand, which is owned by Wolverine Worldwide, also reported an EBITDA profit of 10.48 million pounds, up from a prior loss of 4.53 million pounds.

Gross profit margin rose from 49.4 percent to 53.1 percent, driven by a focus on full-price sales and improved product costs. In contrast, turnover declined 3 percent to 3.84 million pounds.

The return to profitability was accredited to efforts that followed a 2023 reorganisation of Sweaty Betty’s North American wholesale operations, after which the company experienced “strong recovery” through tighter cost control and a reduction in reorganisational items.

Notably, during 2024, the label enacted a significant rebrand, recentering its focus on challenging toxic fitness narratives and promoting self-love and individuality.

Looking ahead, the company said: “Economic conditions may deter the spending of customers and whilst the Sweaty Betty brand is a premium brand, which fills a unique position in the active and leisure wear market, it is still considered to be a risk to the broader economic environment, which might impact the company's business.”

Growth in online sales, integration between stores and online and the reinforcement of digital capabilities were cited as key strategic areas for the business’ future development.