Oasis and Warehouse profits boosted by store closures

The Oasis and Warehouse Group recorded a 48% spike in EBITDA in the 12 months to February 24.

Total sales during the period were broadly flat at £275.2m, while like-for-like sales rose 5% and digital sales climbed 20%, comprising 25% of the group’s overall sales.

Warehouse ended the financial period with 35 branches and 218 concessions, having shuttered 15 “unprofitable” standalone stores during the year.

Warehouse’s turnaround strategy is ongoing but it returned to profitability in the second half of the financial year, which it attributed to store closures, “strong digital growth” and a “continued focus on wholesale and international growth”.

Oasis was operating 81 standalone branches and 215 concession at year end, having opened five further stores in market towns during the period following the successful launch of its small store format in Farnham .

Oasis plans to expand into new product categories including beauty, stationery and homewares “imminently”.

“Despite the ongoing challenges within the retail environment, I am pleased with the growth the group has achieved during the last financial year,” Evans said.

“We have maintained momentum into the current financial year and EBITDA at the end of the first half is up by 14%, but nonetheless we remain cautious given external factors.”

Liz Evans, chief executive

“Oasis has reinforced its position in the market and delivered another solid performance, and we continue to invest in both the digital channels and new local stores. Warehouse’s turnaround journey is continuing to forge ahead.

“The market remains challenging, with low consumer confidence, the uncertainty around Brexit and structural changes in the sector.

“We have maintained momentum into the current financial year and EBITDA at the end of the first half is up by 14%, but nonetheless we remain cautious given external factors.”