Ted Baker hit by lower wholesale sales

British clothing and accessories retailer Ted Baker posted a slight decline in group revenue for the 16-week period between August and December as lower wholesale sales overshadowed retail sales growth.

The fashion chain also said on Thursday that it had appointed law firm Herbert Smith Freehills to conduct an independent investigation regarding claims against its CEO and founder Ray Kelvin relating to his habit of hugging business colleagues.

“While recent news flow is unhelpful, we believe the impact on the group’s brand strength and longer-term growth prospects is likely to be minimal,” Liberum analysts said.

The analysts added that the company’s marker as a global lifestyle brand leaves it far better placed than most in the more challenging retail space that currently persists.