Ted Baker posts £79.9m loss as it launches £95m share sale
Ted Baker has swung to a pre-tax loss of £79.9 million in the year to 25 January from a pre-tax profit of £30.7 million in the previous year.
Revenue fell by 1.4% to £630.5 million in the period as trading was impacted by heavy discounting across the apparel sector brought on by weak consumer spending and a shift to people buying online.
Retail revenues dropped by 4.6% to £439.9 million as store revenues declined by 5.3%. Ecommerce sales were also down, falling by 2.5%.
In addition to reporting its full year results, Ted Baker said it is planning to raise £95 million through the sale of new shares as it looks to strengthen its balance sheet, plan its recovery following the coronavirus pandemic, and implement a new transformation plan.
Rachel Osborne, Ted Baker’s recently appointed chief executive, said ” Today we are excited to launch ‘Ted’s Formula for Growth’, a comprehensive strategy for the Ted Baker brand which is supported by a significant recapitalisation of the business, that strengthens our position and enables us to both execute that transformation, and navigate through the disruption caused by Covid-19.
“The Ted Baker brand is much loved, it has a unique personality and character built up over many decades, and that provides us with a remarkably strong foundation from which to continue our international growth. I am confident that our transformation plan will enable us , Ted Baker, to capitalise on our opportunities and deliver value for all of our shareholders.”
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