Fashion retailer N Brown to shut down five stores
UK fashion retailer N Brown Group is set to close up to five loss-making Simply Be and Jacamo dual-fascia stores by the end of August, due to declining footfall.
Focusing on plus-size clothing, the company stated that the decision is on account of weak high-street footfall, along with future business rate increases for some stores.
The decision comes even as the company reported a 5.6% rise in group revenue and an increase of 16% in online revenue during the first quarter.
According to the company, ladieswear and Simply Be had a very strong period, leading to a larger market share.
N Brown Group CEO Angela Spindler said: “As a result of ongoing weak footfall in some locations, and with a clear focus on driving financial returns across all areas of our business, we will be closing up to five loss-making stores.
“We continue to invest in our customer proposition and remain very confident in our future growth prospects.”
The five stores collectively accounted for the total £2m operating loss of the company’s store estate in the current fiscal year.
Expenditure to be incurred in relation to the process is estimated to be between £10m and £14m.
The company further noted that it will continue to improve the performance of the remaining ten Simply Be and Jacamo dual-fascia stores.