But bosses insist fightback is on track
BUDGET fashion chain New Look has posted an £11million loss and another slump in sales.
The firm warned consumer confidence was still weak, as takings in stores open at least a year dropped 7.4 per cent in the six months to the end of September.
But the half-year loss was at least less than the £41.9million the firm shed the same time a year ago.
New Look has scaled back levels of discounting – with about 70 per cent of stock now sold at full price – and cut costs.
Executive chairman Alistair McGeorge said the business was in “survival mode” before a refinancing was completed in May. “People were surprised it didn’t go
THE maker of Mr Kipling cakes has had an exceedingly good six months.
Premier Foods, whose kitchen cupboard of family favourites also includes Bisto, Oxo and Ambrosia, saw its half-year profits rise by five per cent to £31.7million.
The firm, which has had its troubles in the past, benefited from several product launches and marketing pushes. under,” he explained. A Company Voluntary Arrangement saw a wave of stores close and landlords agree to rent cuts.
New Look pointed to improvements, with the number of range options slashed, time taken to get clothes from drawing board to shop floor cut and 45 smaller stores spruced up.
Nigel Oddy, chief operating officer, said: “The first half of this financial year has been incredibly busy for New Look as we focused on strengthening the operational foundations of the business.”
But Sofie Willmott, retail analyst at GlobalData, said: “New Look is at risk of going down the same road as M&S by offering a range that is too safe.”