Arne: Brothers enjoy huge pay day as profit surges
The brothers behind clothing brand Arne have raked in the cash after sales and profit at their company surged in 2024 ahead of the brand opening its first store.
The Warrington-headquartered business has posted a turnover of £84.1m and pre-tax profit of £11.9m for 2024
The figures compare to the turnover of £37.4m and pre-tax profit of £4.7m Arne achieved in the six months to the end of 2023.
In the 18 months to 30 June, 2023, the company’s turnover totalled £67.7m and its pre-tax profit was £4.7m.
As a result of its much improved 2024 results, the firm issued a dividend of £775,000 for the year to its founders, Reece and Ryan Broadhurst, and fellow shareholder Anthony Buffin.
The dividend is up significantly from the £150,000 Arne paid out for 2023, according to new accounts filed with Companies House.
The results also show that Arne increased its headcount in the year from 92 to 133.
Arne said its growth was driven by expanding its product range, improving its customer proposition and the relaunch of its womenswear.
Arne expects sales and profit to grow
A statement signed off by the board said: “The company has continued to perform strongly post the reporting period, building on the momentum established in the prior period.
“With further investment into infrastructure, product development and the move to a HQ location, the board are confident the growth in turnover and profitability will continue.
“Within the next 12 months, the company will expand into retail and has signed a lease agreement on a UK store which will commence trading in 2025.”
That store will open in Liverpool on 13 September.
In the UK, Arne’s turnover rose from £34.7m to £77.7m and from £2.6m to £6.3m in the rest of the world.
Arne was founded by Reece and Ryan Broadhurst in 2018.
The latest results for Arne come after City PM reported that sales at clothing brand Represent jumped towards the £100m mark in a “landmark year” which saw it double down on collaborations, grow its activewear and expand into further into the US.
The business, which was founded by brothers George and Michael Heaton and headquartered near Bolton, posted a turnover of £93.8m for 2024, up from the £80.8m it achieved in 2023.
The latest total came after the firm’s turnover totalled just under £50m in 2022.
Accounts filed with Companies House also showed that the brand’s UK turnover increased from £46.6m to £56.8m but dipped slightly from £19.4m to £19.2m in Europe.