Mosaic Fashions saw sales shoot up 92% to £407 million and EBITDA rocket 23% to £31.5m for the six months to July 28, following last year’s acquisition of Rubicon Retail.
However the group which includes the Oasis, Warehouse, Principles and Karen Millen chains posted a loss after tax of £4.7m against a post-tax profit of £5.6m the previous year. The company blamed increased financing costs.
Performance across the group’s fascias was mixed with Principles posting a 9% decline in sales over the first half. Coast also faced difficulties and sales were down 3% over the period while Oasis saw a 1% drop off in sales.
However Warehouse and Karen Millen were star performers with sales up 17% and 14% respectively over the period. Whistles saw a sales gain of 7% and Shoe Studio saw sales ahead 2% for the period.
Chief executive Derek Lovelock said: “The first few weeks of the Autumn Winter season have seen continued challenging trading conditions, but we are pleased that Coast has shown clear signs of recovery. The new e-commerce sites for Coast and Karen Millen are performing well and we look forward to the new Whistles site which will be launched shortly. In the UK, Warehouse continues to outperform, but Oasis and Principles remain a concern. Our international businesses are still growing from strength to strength. Our guidance is for a full year EBITDA of £92.5m, 28% higher than last year.”
Mosaic Fashions delisted from the Icelandic Stock Exchange last week. Majority stakeholder Baugur is understood to have been keen to take the business private after Mosaic struggled to swallow and integrate Rubicon Retail which it bought last year. Baugur are thought to be keen to complete the integration of the two businesses away from the glare of the City.