Crew Clothing profits rocket as sales inch up

The lifestyle retailer’s EBITDA increased 28%. This was driven by the continuation of the investment strategy the company began in 2015, aiming to rebalance the store portfolio and enhance the online proposition and product ranges.

Turnover increased £1m to £59.3m, spurred on by a 5% rise in like-for-like in-store sales and a 12% ecommerce rise during the year to October 2017.

Gross margin increased by 4% to £34.1m.

Crew’s results are strong in light of the adversities facing retailers. Consumers are seeing a decrease in disposable income, so a downturn in spending has negatively impacted many retailers’ sales and profits. Anxiety around Brexit has further influenced consumers and retailers alike, with both preparing for the worst.

Chief executive David Butler said he remained confident the firm’s strategy was “well positioned to deliver despite the current challenges for UK retailers”.

He added: “Crew is well placed to explore further channels and to develop existing and new product categories which will complement its current revenues and customer needs moving into 2019.”