Ted Baker eyes new UK store locations as sales rise

The fashion retailer recorded sales up 35% year-on-year in the 12 week period from November 7 2021 to January 29, 2022, which was an 18% rise on the previous quarter.

Ted Baker said that the business has been met with some Covid headwinds due to the surge of the Omicron variant at Christmas, meaning that sales in the fourth quarter were running at 10% below pre-pandemic levels before Omicron warnings and 42% below after.

The retailer added that it was able to successfully navigate supply chain issues with minimal impact on product availability.

Ted Baker’s bid to move to full-price sales also has paid off, delivering a better trading margin.

Three new stores a year for three years

The fashion house is now eyeing future expansion plans and has signed a franchise agreement in the UK which will see three new stores opening each year for the next three years. It has also extended its licences in the US including bedding and homewares.

Chief executive Rachel Osborne said: “We continue to make good progress with our transformation and despite the impact of Omicron on the quarter, we’re pleased to deliver group sales up 35% compared with last year. 

“The strong improvement in trading margin is encouraging, along with the increase in full-price sales mix, demonstrating the progress we’re making as Ted re-establishes its premium brand positioning. 

“Our product is resonating with customers and we were particularly pleased with the performance of womenswear, with bags, footwear and tops all selling well, and a strong initial reaction to the Spring/Summer 2022 collection. 

“Ted is emerging from Covid a stronger, more sustainable business and we’re excited for the future.”