Paul Smith sees sales soar to 200 million pounds

British designer brand Paul Smith saw sales grow to almost 200 million pounds for the year ending 30 June 2018.

Despite the challenging retail climate the London-based company saw sales rise 11 percent like-for-like, while total sales grew 6.7 per cent year-on-year to 197.3 million pounds. Wholesale sales rose 3 percent to 82.5 million pounds, whiles sales to franchise partners declined. The company opened new stores in Hong Kong, Berlin, Manchester and Luxembourg.

In a statement the company said: “The directors consider the result for the year to be satisfactory following a period of challenge, transition and significant change.

"Sales increased across our retail and wholesale channels and we are pleased to see the positive results following the changes made to our business and products.

“Our increasing overheads reflect continued investment in new shops and our business systems as well as the impact of a weaker pound on our purchases and the cost of our operating overseas.

“Operating expenses also include the significant impairment of one of our own non-performing shops and the significant challenges to the high street have led to an unusually high bad debt charge this year.

“Whilst we do not under estimate the challenges in our market, we have made significant progress in returning to growth and building a strong foundation as a result of the significant investment and efforts made.

“Based on current levels of trade, we expect a more positive outcome for the coming year.”

Paul Smith currently employs over 1000 people and in the new financial year plans to open stores in Germany and the US.

Photo credit: Paul Smith AW18 campaign, source Paul Smith