Selfridges annual revenue boosted by store sales
Selfridges has reported a 29% increase in revenue to £843.7 million for the 52 weeks ending 28 January 2023.
Revenue was driven by "strong" footfall and sales across the retailer's physical stores, particularly Oxford Street in London and Exchange Square in Manchester.
The improved performance came despite challenges from the pandemic during the first months of the year, with trade and turnover being hit by international COVID-19 restrictions reducing the number of foreign visitors coming to the UK.
The retailer was also impacted supply chain disruption linked to the pandemic, Brexit and industrial action in the UK.
Selfridges also saw losses narrow, reporting a loss before tax of £37.9 million against a loss of £121.5 million the previous year.
This was attributed to the application of the accounting standard IFRS 16 ‘Leases’ - resulting in higher depreciation and finance costs, and a reduction in rental expenses.
Its "more significant leases" are near the start of their terms, and as they move towards the end of their terms, certain costs will decrease.
- By addressing the materials used in products.
- By launching and exploring new retail models such as rental, refill and resale.
- By engaging with teams, partners and customers to inspire a shift in mindsets.
Last month, Selfridges announced its 'resize and reshape' to ensure the business is "fit for the future, aligned, and working in the most efficient way". This includes making redundancies in its head office and retail stores.