Dr Martens expects sales to remain ‘broadly flat’ after strategic decision

Fashion brand has scaled back its discounts and clearances

Dr Martens saw sales dip in the latest quarter (PA Media)

Dr Martens has reported a decline in sales over the last quarter, a direct consequence of its strategic decision to scale back discounts and clearance activities.

The British bootmaker saw its shares dip in early trading following the announcement, as it projected revenues for the current year to remain broadly flat.

The company is currently undergoing a significant turnaround effort, aiming to restore sustainable profitability. Despite the dip in sales, the group stated on Tuesday that it has made "good progress" with its strategy and is on track to improve profits this year.

However, group revenues fell by 3.1 per cent to £253 million in the 13 weeks leading up to 28 December, compared with the same period a year prior. This reduction was primarily driven by a 7 per cent decrease in direct-to-consumer sales, attributed to less aggressive discounting on its own platform during the crucial Christmas trading period.

Dr Martens has decided to scale back discounts and clearance activities (Tim Ireland/PA)

In contrast, wholesale revenues saw a 9.3 per cent increase over the quarter, with a notable shift towards wholesale channels in the UK and Germany.

Dr Martens informed shareholders that it anticipates revenues, on a constant currency basis, to be "broadly flat" this year, as it prioritises profitability over revenue growth.

The company expressed confidence in meeting its profit targets for the current financial year, forecasting "significant" pre-tax profit growth. It also updated its guidance for currency rate impact, now expecting a £15 million effect, up from a previous estimate of £10 million.

Ije Nwokorie, chief executive of the business, commented: "This is a year of pivot, as we make the necessary changes to our business to set us up for future sustainable growth. I remain laser focused on executing our new strategy and we will deliver all four of our strategic objectives for full-year 2026. We have continued to improve the quality of our revenue through a disciplined approach to promotions and this represents a headwind to overall revenue, particularly in ecommerce."