Return to office and social events help Ted Baker on path back to profit

The fashion retailer saw shares move higher after it said the relaxation of Covid restrictions had helped buoy sales.

Henry Saker-Clark
Thursday 11 November 2021 11:58
Ted Baker has reduced its losses as retail store sales recovered (Jonathan Brady/PA)
Ted Baker has reduced its losses as retail store sales recovered (Jonathan Brady/PA)

A rebound in office and party wear sales has helped Ted Baker edge back closer to profitability.

The fashion firm saw shares move higher after it said the relaxation of Covid-19 restrictions helped to buoy sales across its 377 stores and concessions.

Chief executive Rachel Osborne said the business is delivering against its transformation plans and has made “big strides” in its efforts to return to profit.

Ted Baker told investors on Thursday that it posted a £25.3 million pre-tax loss for the 28-week period to August 14, compared with a £86.4 million loss for the same period last year.

It said its group revenues for the period increased by 17.6% to £199.3 million, although they remained more than a third below pre-pandemic levels.

I remain confident that our turnaround of this great global lifestyle brand is on course and that Ted will emerge as a stronger business

Rachel Osborne, chief executive

Meanwhile, the group said sales for the current quarter have been up 18% amid 34% growth across its retail stores.

The return to office and social activities has also helped to drive increasing demand for formal and occasion wear, the company added.

Ms Osborne said: “I’m pleased with the continued progress we’re making as we return to revenue growth and make big strides back towards profitability.

“The brand remains healthy, delivering a stronger full price mix alongside encouraging early reactions to the new collection.

“The pandemic continues to impact the global retail environment, yet despite this we are delivering against our transformation plan.

“I remain confident that our turnaround of this great global lifestyle brand is on course and that Ted will emerge as a stronger business.”

Shares were up 1.6% at 138.9p on Thursday morning.

Register for free to continue reading

Registration is a free and easy way to support our truly independent journalism

By registering, you will also enjoy limited access to Premium articles, exclusive newsletters, commenting, and virtual events with our leading journalists

Already have an account? sign in

By clicking ‘Register’ you confirm that your data has been entered correctly and you have read and agree to our Terms of use, Cookie policy and Privacy notice.

This site is protected by reCAPTCHA and the Google Privacy policy and Terms of service apply.

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in