EBITDA at lifestyle brand Fat Face fell 4.1% to £11.8 million for the 26 weeks to November 29, and the company predicted the next six months would become ‘more challenging’.
Fat Face sales grew 1.8% to £62.8 million over the period, as the company made range improvements, added new stores or relocated existing ones and maintained tight cost controls.
Total sales for the five weeks between November 30 and January 3, grew by 3%, boosted by a last minute rush in the four days before Christmas.
Fat Face said that margin was maintained at last year’s level through good stock management and less discounting.
It said the home shopping division also performed very well with double digit increases on the year.
Fat Face opened 11 new stores and relocated three during the period, taking its total number of shops to 154 in the UK, Eire and France. It has continued expanding with John Lewis, and has signed a new wholesale partner Cotswold Outdoor.
Fat Face chief executive Louise Barnes said: “These are some of the harshest conditions in retail. Fat Face has delivered a resilient and creditable performance in a market depressed by falling consumer confidence and more general worries about the state of the economy and job prospects.”
“In spite of these conditions, we grew sales and, by maintaining tight cost control, we have gone a long way to protecting our bottom line. The next six months will be more challenging for the high street, but we remain on track with new store openings and are committed to our programme of product enhancements. The strength of our brand is helping us to weather the storm.”