N Brown to open London store as profits hit £100m
PLUS-size multi-channel retailer N Brown Group has seen profits hit £100m for the first time as it unveiled plans to open its first London store this autumn.
The Manchester company, the name behind Simply Be, Jacamo, JD Williams and other brands including High & Mighty and Figleaves, said the site on Oxford Street was an important step in building brand awareness for Simply Be and Jacamo.
Chief executive Angela Spindler said: “We are very excited about the London opening in September, clearly it’s a larger investment and is going to cost more than our store in Bury.
“It is at the east side of Oxford Street opposite Marks & SPencer and JD Sports and will be near the CrossRail station too, so I’m really pleased with the location.”
She said the results for the year to the end of March were “pleasing” – but said huge investment of around £68m in upgrading the group’s systems over the next year would see the group targeting double digit growth in 2016.
“We are really ambitious and we feel there is a big opportunity. The investment will give us industry-leading capabilities and includes new systems and re-platforming the websites.”
Total group revenue increased by 6.4% to £834.9m and 6.3% on a like-for-like basis. Operating profit climbed 4.7% to £107m, after accounting for losses of £6.2m (2013, £6.1m) from the investment in growing Simply Be in the US and opening new Simply Be/Jacamo stores. Profit before taxation was up 5.3% to £100.1m.
Chairman Andrew Higginson said: “We have achieved a lot in the year, whilst at the same time we have entered a period of transition for the business.
“We are investing in the further development of our multi-channel offer, increasing customer recruitment, revitalising our major brands and driving international expansion for future growth. We are encouraged by the positive signs from these strategic initiatives and we are confident these trends will continue.”
N Brown’s fastest growth came not from clothing, but from its home offer where sales grew by 12%. This category is focused on a ‘Famous Five’ range of bedding, home décor, homewares, outdoor living and family gifts, and accounts for 31% of group revenue.
Footwear and menswear grew by 10% and 5% respectively. Ladieswear, grew by 3% during the year.
