Clothing & ShoesDepartment Stores

Quiz to take £400,000 hit from House of Fraser collapse

House of Fraser is expected to receive a £400,000 cash injection from fashion retailer Quiz.

Ahead of its AGM the retailer, which has concessions in the department store, said it would provide the money in relation to “outstanding debtor balances and other potential costs”. Quiz will provide a trading update with regards to the six months to 30 September 2018 on 11 October 2018 and will announce its interim results during late November 2018.

Overall, the fashion brand’s board said it was pleased with its performance over the financial year in particular, a positive response to its summer range. It also opened two standalone stores this year in Oxford and Bluewater shopping centre, which “performed encouragingly”.

Quiz also said it planned to focus on maximising its online potential and said it expected stronger growth through its own websites in comparison to third party sites.

House of Fraser was saved from administration by new owner Mike Ashley, after he purchased the department store for £90m.

Peter Cowgill, non-executive chairman of QUIZ, said: “Quiz has historically operated 11 House of Fraser concessions and sold its products through the House of Fraser website.

“Further to House of Fraser’s entry into administration and the selective acquisition of assets by Sports Direct International plc, the group is expecting to provide £0.4m in the six months to 30 September 2018 in relation to outstanding debtor balances and other potential costs.”

He added: “Despite an uncertain trading environment, we believe that the group, underpinned by the strength of the Quiz brand as well as its flexible, omni-channel model, remains well positioned for continued strong growth. At this stage, and with important trading periods in the second half of the financial year still to come, the board remains confident that Quiz is on track to deliver market expectations for the full year.”

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