Smart Ted Baker beats profit targets

  • @Thompj

Ted Baker is pushing ahead with its overseas expansion after the fashion group posted a rise in half-year profits that beat City expectations.

Ted Baker, which has nearly 300 stores and concessions globally, opened its first store in Beijing last month and has two more planned for Shanghai early next year. The brand also plans to introduce more concessions in department stores in Spain, Ireland and the Netherlands in the second half of the year.

Underlying profits at Ted Baker rose 10.4 per cent to £9.4m over the 28 weeks to 11 August, on revenues up 15.4 per cent to £118.6m.

Its founder and chief executive, Ray Kelvin, said it had a "fantastic first half in womenswear", particularly on dresses, while menswear also "performed well".

The star performer was its US retail business, which grew sales by 53.3 per cent to $25.6m (£15.9m) and opened a flagship store on New York's Fifth Avenue at the end of the trading period. US revenues were boosted by Ted Baker expanding its presence to about 30 shop-in-shops inside Bloomingdale's, the department store.

The brand's sales in the UK and Europe jumped by 7.9 per cent to £74.7m in the 28 weeks to 11 August, lifted by new stores.

Ted Baker grew its interim dividend by 10.5 per cent to 7.9p.

The retailer's womenswear range enjoyed a particularly strong first half