Hamleys reports £12m sales loss amid ‘most challenging year in retail history’

Toy retailer Hamleys has reported a sales loss of £12m for the full year to 31 December 2017.

According to the the latest figures revenues dropped 2.5% to £66.3m and net assets also decreased by £11.7m, as well as an EBITDA loss of £4.7m.

The group said 2017 was one of the “most challenging years in UK retail history”, and added that Hamleys was not immune to the “impact of Brexit uncertainty, terrorist attacks and a general erosion in UK consumer confidence”.

In the UK, the retailer closed two proprietary stores, which were shuttered as leases expired or where the stores were loss-making with no “prospect of turning them around to be profitable”.

A statement made the group read: “The Hamleys Group’s continued focus to improve customer service experience and proposition across all formats, introducing new products and services and more widely, continued overseas growth and entry into new property franchise and international wholesale markets.

“This has significantly strengthened the future potential of the Hamleys business. Together with the strategic actions that have been taken, the group is confident of an improved performance going forward.”