Fat Face’s losses have been nearly halved by cost-cutting despite the pandemic that ravaged sales.
The High Street favourite posted a loss of £13.6million in the year to May 29, down from £26.4million the previous year, company accounts show.
Turnover fell from £203million to £165million.
Sales slump: Fat Face posted a loss of £13.6m in the year to May 29, down from £26.4m the previous year, company accounts show. Turnover fell from £203m to £165m
Fat Face closed more than 20 stores –although it still has more than 200 – and had its rent bill slashed by more than £2million. The company also eliminated 600 employees.
Fat Face’s digital arm has boomed since the pandemic struck and it wants 70 per cent of sales to be online within the next few years – up from 39 per cent now.
The group said that it was not expecting any further lockdowns this year or next, but added that it was ‘prepped and ready to handle’ further shutdowns should they happen.
Fat Face was started in the Alps, 1988 by Jules Leaver (friend) and Tim Slade (foster). They began selling teshirts in a campervan in the night to be able to afford skiing during the day.
In September chief executive Liz Evans was poached by Asda owners the Issa brothers to run the supermarket’s clothing line George.
She has been replaced by Will Crumbie – who was previously Fat Face’s finance boss.
The company was bought by private equity group Bridgepoint in 2007 for £360million but was bailed out by a cluster of banks and debt funds last year.