SRG, which owns the Suits You chain, has recorded a 7% dip in gross profit to £36.7 million and a 10% slide in sales to £65.4m for the year ended January 2007 - its first full year under ownership of Gresham Private Equity.
The company said that performance was impacted by the disruptive effect of the buy out by Gresham together with difficult trading conditions.
Since the year end SRG has appointed a new management team led by Anton Woodhouse as chairman and Steve Gipson who joined as chief executive in June following the departure of Adrian Wright earlier in the year. The team have created a new strategy for the group to hell stem falling sales. The business will now focus on the core Suits You, Young's Hire and Racing green businesses.
The board said they were confident that the groundwork to rebuild the key brands and core product ranges would greatly benefit the business in 2008. They have plans to open five new stores next year.