New Look narrows losses as turnaround plan pays off
High street retailer New Look narrowed its losses in the third quarter, as a new leadership team pushed ahead with its transformation plan.
New Look said it narrowed its losses from £63.2m to a statutory loss before tax of £1.2m, despite falling sales.
Like-for-like sales in the UK and Ireland fell 7.1 per cent over the period, which included Christmas and Black Friday.
The retailer blamed the dip in sales on ongoing consumer uncertainty and seasonal volatility.
Total revenue in the 39 weeks to 28 December was £830.1m, down from £930.4m in the previous year due to a spike in discounting and a reduced store portfolio.
The retailer appointed Ema Hayward as transformation director in November, and David Wetheim was hired as central merchandising and supply chain director in October.
Meanwhicle, chief executive Nigel Oddy was promoted from chief operating officer on 1 January, as former executive chairman Alistair McGeorge became non-executive chairman.
Oddy said: “This time last year the company lacked the financial stability needed to operate effectively and invest in the business.
“Now, with our strengthened liquidity position, we are able to make significant appointments to our leadership team and investments in our stores and omnichannel capabilities, which, which I am confident will increasingly bear fruit as we look ahead.
“The fourth quarter will be characterised by early spring trading in late February and March. We have confidence in our offering but remain cautious of the challenging market environment and consumer sentiment.
“Looking further ahead, our improved product range, enhanced lead times and omnichannel offer means we are well positioned as we focus on driving profitable sales.”