Mothercare reports increased losses throughout the year

Mothercare reported an increase in losses and a decline in full-year sales as the pandemic put a spanner on the work of the ongoing transformation strategy of maternity and children’s clothing specialists.

In the year ending March 27, the company’s statutory loss increased from £ 8.5m in the previous year to £ 21.5m and sales fell 47.9% to £ 85.8m.

Adjusted EBITDA decreased from £ 6.2 million to £ 2.2 million.

The company estimates that more than 80% of its partner’s global retailers are currently open, but Covid says trade in key markets in Russia, India, Indonesia and Malaysia remains “challenging.” Stated.

Chairman Clive Wheely said past fiscal years have been “challenging,” but added that “tremendous progress” has been made in “fundamentally transforming the group.”

Mothercare sales fell 47.9 in fiscal year

In recent years, the company has undergone a major restructuring. In August, we announced the launch of a “more sustainable and less capital-intensive” business model since the AW20 season.

This was after the company launched its UK operations in 2019 and closed all 79 stores.

In March, Mothercare moved from the London Stock Exchange to the junior market, AIM, as part of its restructuring.

“We expect 2022 to be a year of further progress as we focus on developing strategies and future plans to globally optimize the Mothercare brand over the next five years,” Whily said in a release. ..

“These are exciting times as we are trying to accelerate the growth of our business and Mothercare brands without distracting us over the last three years, despite the ongoing pandemic influence in many regions of our franchise partners. . “

Meanwhile, the company is looking to the future and is “very optimistic about establishing a powerful and efficient platform with multiple growth opportunities.”

Mothercare reports increased losses throughout the year

Source link Mothercare reports increased losses throughout the year

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