Anya Hindmarch has reported pre-tax losses of £28.2m in the year to 30 December 2017, as the luxury handbag and accessories brand reduced its physical footprint.
Losses swelled from £11.9m the year before. Sales also fell, with turnover reaching £37.2m during the period, down from £41.3m the year before.
During the financial year Anya Hindmarch significantly reduced its bricks-and-mortar presence. It closed its Westfield store, its Hackney outlet, its House of Fraser concession in Guildford, its Harvey Nichols concession in Edinburgh, and four concessions in Japan.
In Ginza, Japan, the company closed one store and opened another in the prime Ginza 6 location. The company now operates seven direct stores across the UK, US and Asia. It also operates a number of concessions, outlets and franchises.
Anya Hindmarch said it was “resetting its approach to growth and renewing operational rigour”, with plans to invest in digital and direct to consumer channels and tighten up costs associated with its sourcing.
During the year the brand received a £16m cash investment from long-term shareholders Mayhoola for Investments, an investment fund owned by the Qatari royal family.
Anya Hindmarch, founder and chief creative officer, said: “Full year 2017 was an exceptional year for the company. We are taking tough decisions to ensure the business is best placed for the fast-changing consumer environment. Now, more than ever, we are focused on finding new and creative ways to engage with our customers. It is clear that the old retail model is no longer fit for purpose, and now is the time to be brave.”