Today’s news in brief
The latest BRC-KPMG Retail Sales Monitor reveals a 4% year-on-year decrease in total UK retail sales for April. Non-food sales dropped by 2.8% over the three months to April compared to a growth of 1.2% in 2023. Food sales saw a 4.4% increase over the same period, although this is below the growth rate of the previous year. In-store non-food sales fell by 2.4% year-on-year, and online non-food sales decreased by 5.5%.
Mike Ashley’s Frasers Group has withdrawn a $50bn lawsuit against Morgan Stanley, alleging “snobbery” over a margin call related to a stake in Hugo Boss. The dispute began in August 2022, with claims that Morgan Stanley acted in “bad faith” over Hugo Boss trades. Frasers accused Morgan Stanley of causing financial and reputational harm. The lawsuit’s resolution involves no financial exchange between the parties.
Tala, the athleisure brand, is launching its first physical partnership with Selfridges, offering an immersive retail experience across multiple stores. Founder Grace Beverley highlighted the opportunity for customers to interact with Tala products firsthand. Bosse Myhr, Selfridges’ buying director, emphasised the importance of supporting emerging brands and meeting customer lifestyle demands.
Zalando reported a revenue increase to €2.2bn for Q1 2024, with adjusted EBIT rising to €28.3m. Gross merchandise volume (GMV) rose by 1.3% to €3.3bn, driven by improved profitability from lower fulfilment costs and inventory management. Zalando remains confident in its full-year outlook, expecting both GMV and revenue to grow between 0% and 5% compared to 2023.
The White Company’s profit before tax slightly decreased despite a 4% turnover increase to £287.2m, attributed to strong in-store sales. The company noted a shift from online to in-store sales and highlighted ongoing investments in digital transformation and store expansion.
The Fragrance Shop celebrated strong end-of-year results, with a 6.1% like-for-like sales increase and 9.4% overall growth. Barbour, Versace, and Jean Paul Gaultier were among the brands driving growth. The group plans to expand its retail footprint and international presence, focusing on quality management and educational programs.
