AllSaints profits have surged in another ‘record’ year for fashion retailer

Sales at AllSaints and its American subsidiary brand John Varvatos edged up 0.6% for the full year to February 3, 2024, to reach £459.5m, up from £457m last year.

AllSaints credited this increase in revenue to a reduction in sales activity and its growing focus on reaching more customers “than ever before”.

The fashion brand’s retail revenue across its stores and online dipped 2.9%, but non-retail revenue, including wholesale, franchising and licensing, surged 18.4% during the year.

AllSaints also reported a 26% rise in post-operating exceptional EBITDA from £59.1m to £74.4m, while operating profit soared 40% from £28.5m to £39.9m.

During the year, AllSaints opened a new concept store in Los Angeles as well as its debut store in mainland China in Shanghai and a new John Varvatos store in Houston, Texas.

With an eye to the company’s performance for the first half of the new financial year to July 2024, AllSaints noted trading “in line with expectations” and hailed the launch of its expanded group licensing partnerships including the launch of childrenswear, smAllSaints, in partnership with Next.

AllSaints also highlighted the opening of a new third-party-operated distribution centre in the Netherlands, which it called a “key strategic initiative” to support its growth.

AllSaints chief executive Peter Wood said: “We are delighted to be reporting another record performance for the third year in a row. We are particularly pleased that our clear focus on growing our wholesale, franchise and licensing partnerships around the world means that we are reaching more customers than ever before. This has allowed us to improve the quality of our retail revenues by reducing our promotional and markdown activity despite continued challenging market conditions. This in turn has delivered improved margins and a new best-ever EBITDA performance for our group.

“As always, these results are testament to our amazing people and their fantastic energy, creativity and teamwork, along with the ongoing support of our vendors and partners. As a team we are hugely proud of what we have achieved, but we are even more proud of the way in which we’ve achieved it.

“This year is the 30th anniversary of the iconic AllSaints brand, and it is shaping up to be another hugely successful and eventful year for us. Our new fragrance collection and our launches into new areas such as smAllSaints, eyewear, underwear and men’s tailoring are a great demonstration of the versatility and strength of our brand. There is good momentum across the entire group, with John Varvatos delivering a great start to the year. As a result, we remain as confident as ever in our future prospects.”

The news comes amid a milestone for the fashion retailer as it celebrates its 30th anniversary in 2024.

To celebrate the brand’s birthday, AllSaints recently unveiled the launch of a new luxury fragrance collection as well as a new subscription rental clothing offering, and repair and rewear services to boost the longevity of its clothing.