Peacocks, Bonmarché, and Edinburgh Woollen Mill (EWM) have successfully turned their fortunes around, reporting profitable results for the year ending February 2023.
- In 2021, the businesses were acquired out of administration by Steve Simpson and an international investment group.
- The companies have attributed their improved financial performance to strategic updates in retail layouts and a bolster in their ecommerce offerings.
- Peacocks witnessed significant turnover growth and profitability compared to the previous year, marking a robust financial rebound.
- The group plans further expansion, setting sights on 100 new UK stores in the next 18 months.
Peacocks, Bonmarché, and Edinburgh Woollen Mill (EWM) have reported profitable financial outcomes for the year ending February 2023, revealing a significant turnaround since being bought out of administration in 2021 by Steve Simpson and an international consortium. Simpson, who is now the CEO, has implemented a series of strategic changes across the brands.
Peacocks achieved a remarkable turnover of £238 million and an operating profit of £14.7 million for the year ending 25 February 2023, compared to a turnover of £139 million and an operating loss of £12.4 million in the prior year. This dramatic improvement is credited to key investments in retail infrastructure and a 40% increase in website transactions, highlighting a robust enhancement in ecommerce capabilities.
The Edinburgh Woollen Mill and Bonmarché followed a similar positive trajectory, reporting joint sales of £195 million and an operating profit of £8.1 million, a significant recovery from the previous year’s revenue of £122 million and an operating loss of £7.7 million. Both brands have expanded their retail footprint, with Edinburgh Woollen Mill opening new outlets in tourist-heavy areas.
Recognising the shifting retail landscape, the businesses have placed a strong emphasis on ecommerce growth and development. Edinburgh Woollen Mill’s online orders rose by 36%, and Bonmarché’s increased by 17.4% year on year. These figures underscore the effective adaptation to an increasingly digital marketplace.
Looking ahead, the brands are focusing on geographical expansion, anticipating the opening of 100 new stores in the UK within the next 18 months. This expansion is part of a broader strategy to enhance customer engagement and market presence across various consumer segments.
Peacocks, Bonmarché, and EWM’s return to profitability exemplifies a successful post-acquisition transformation driven by strategic investments and expansion plans.
