Ann Summers posts rise in sales in ‘year of two halves’ as it eyes UK store expansion

Ann Summers reported a 7.6% rise in sales year on year, from £93.2m to £100.1m, for the 52 weeks to June 25, 2022.

Gross profit for the period reached £60m, up from £50.9m in the previous full financial year, while operating profit was down from £3.5m to £1.2m.

The lingerie and sex toy retailer said the drop in operating profit was “unsurprisingly” a result of the challenges faced surrounding the new Covid variant impacting its key Christmas trading period. It also cited supply chain issues and other cost increases related to the war in Ukraine.

Ann Summers credited its full-year performance to a “clearly defined and well executed” business strategy and highlighted the success of its extended range of skin tones throughout its product offering, as well as the introduction of its customer loyalty programme and the opening of new stores.

The retailer added that it is “actively looking at key new sites for the future” and confirmed plans to add four or five more stores to its portfolio next year, according to a statement filed on Companies House.

Chief executive Maria Hollins said: “2022 was a year of two halves for Ann Summers. We started the year strongly and optimistic that, after the disruption the pandemic had caused in recent years, this would be the year that we saw a return to normality. With stores open and footfall gradually returning to the high street, it felt like this would be the case.

“However, once again, Covid impacted us. The rise of the omicron variant disrupted the key Christmas trading period in our retail stores as customers sought to protect their family Christmas plans.

“It was pleasing to see the business turnover continue to grow year on year, which is a continued result of a clearly defined and well-executed commercial business strategy.

“Finally, it is with great sadness that, since the year end, our amazing executive chair, Jacqueline [Gold], has passed away.

“In her life, Jacqueline was a trailblazer, a visionary and the most incredible woman, and as such was an inspiration to so many. We will never forget all that Jacqueline has done for Ann Summers and are all focused on ensuring her legacy lives on.”