THE RETAIL BULLETIN - The home of retail news
Home Page
News Categories
Christmas Ads
Commentary
Department Stores
Electricals & Technology
Entertainment
Fashion
Food & Drink
General Merchandise
Grocery
Health & Beauty
Home & DIY
Interviews
Property
Retail News
Retail Solutions
Shopping Centres, High Streets & Retail Parks
Sports & Leisure
Retail Events
People in Retail Awards 2023
Retail Marketplace Strategy 2023
Omnichannel Futures 2023
Retail HR Central
Digital Transformation Strategy 2023
Customer Engagement Strategy 2023
Retail HR 2023
THE Retail Conference 2023
Upcoming Retail Events
Past Retail Events
Retail Insights
Retail Solutions
Advertise
About
Contact
Subscribe for free
Terms and Policies
Privacy Policy
HMV back on track as company turns a profit for the first time in four years

High street retailer HMV has returned to profit for the first time since it was bought out of administration in 2019 as shoppers snap up a… View Article

ENTERTAINMENT

HMV back on track as company turns a profit for the first time in four years

High street retailer HMV has returned to profit for the first time since it was bought out of administration in 2019 as shoppers snap up a record amount of vinyl albums.

The retailer, which is now owned by Sunshine Records and Entertainment, has reported its highest profits since it was rescued from administration by Canadian businessman Doug Putman in 2019.

Sales at Sunshine, which also owns the smaller chain Fopp, jumped from £90m to £150m in the 12 months to May 2022, the latest accounts filed with Companies House show, helping it to return to a £1.9m profit, up from £240,000 in 2021, when Covid lockdowns kept many stores closed.

The positive performance comes as vinyl record sales surpassed CDs for the first time in 35 years in 2022 with more than 5.5 million units sold. Sales of vinyl LPs grew for the 15th consecutive year in 2022, hitting 5.5 million units – the highest since 1990.

The best-selling albums were Taylor Swift’s Midnights, which shifted over 89,000 vinyl copies, and Harry Styles’s Harry’s House, Arctic Monkeys’ The Car and Liam Gallagher’s C’mon You Know.

It comes as a result of Mr Putman’s refocusing of the once-troubled retailer. HMV fell into administration in 2013 and was bought by restructuring firm Hilco, only to collapse once again in 2019.

The Canadian businessmen, who also owns Toys’R’Us Canada, bought HMV in a deal worth a reported C$1.5m (£920,000) and managed to rescue its 100 stores, though later closed 27 of those, including its flagship Oxford Street location.

Mr Putman changed the music at HMV, making changes such as signing deals to stock exclusive record pressings that could not be found in other retailers, and launching his own record label in September 2022. At the time, he said that the HMV label would focus on signing two or three “unknowns” a year, after unveiling Newcastle singer songwriter India Arkin as its first signee.

“Streaming algorithms mean it’s hard for new artists to get their voices heard, so we’re giving them the chance to get their albums in our stores, where music fans can discover them for themselves,” he added.

HMV has also expanded since Mr Putman acquired the firm, opening 10 new stores in 2022, including one in Dudley that is focused on stocking the latest vinyl.

 

Email this article to a friend

You need to be logged in to use this feature.

Please log in here

Subscribe For Retail News