Shoe Zone posts full year loss
Shoe Zone has reported a pre-tax loss of £14.6 million in the 52 weeks to 3 October compared to a profit of £6.7 million in the prior year.
In addition, revenue was down 24.3% to £122.6 million following the loss of trade from retail stores due to Covid-19.
However, online sales growth was strong with sales in the category climbing to £19.3 million from a previous £10.6 million.
Anthony Smith, Shoe Zone chief executive, said: “In my second year back as chief executive, it is disappointing I am reporting on a year impacted by Covid-19. Despite this, there are positives such as the continued growth of digital and the commitment and focus of our loyal employees. The financial pressure caused by Covid-19 has meant we now have debt on the balance sheet for the first time in over 15 years.”
Shoe Zone ended the period operating from 460 stores after opening nine big box shops and one hybrid store. It also closed 50 shops and completed eight refits.
Smith added: “The business model of digital, big box, hybrid and town centre stores remains the same although the percentage contributions of each area are changing fast due to lockdown restrictions, some of which will be a permanent shift.”
