Following legal accusations from a former Harrods executive, it would seem that the UK department store chain Fenwick is facing further challenges, having reported a significant financial downturn, posting a loss before tax of £28.4 million for the year ending January 26, 2024, compared to a profit of £57.1 million the previous year.
Sales fell by 7% to £184.2 million, down from £199.7 million, as the company faced a challenging retail environment marked by high inflation and rising mortgage rates, contributing to the ongoing cost-of-living crisis.
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The retailer noted that heavy discounting from competitors further impacted sales and its ability to manage costs. Fenwick operates eight department stores across the UK and is now focused on returning to profitability by enhancing its operating model, particularly online. The strategy includes improving customer service and preserving product margins.
Source: www.retailgazette.co.uk