British fashion and homeware retailer Matalan cut more than 700 jobs over the last fiscal year despite its revenue growing by 38 percent.
In the 52 weeks to February 26, the company reduced its workforce from 11,558 to 10,837 – a loss of 721 jobs, it said Thursday.
It came as the retailer increased its revenue to 1.03 billion pounds, up from 744.1 million pounds the prior year.
Matalan posted an EBITDA post adoption of IFRS16 of 197.8 million pounds, up from 80.5 million pounds a year earlier.
Executive chair Steve Johnson said the results represented “a strong recovery” during a period of “ongoing challenges”, which included store closures and supply chain disruption linked to the pandemic.
He said turnover at the retailer’s online business has grown by over 50 percent since the beginning of the pandemic, “with lots more potential still to realise”.
Looking at Spring 2022, Johnson said the market “has remained volatile, hampered by widespread inbound supply disruption and weak consumer sentiment in the face of the spike in inflationary pressure on broader consumer spending”.
Despite that, he said the company remains confident it is “well positioned, offering outstanding value to our customers, which has shown through in our sales performance”.
In more recent trading for the 13 weeks to May 28, Matalan increased its revenue by 29 percent year-over-year to 286.5 million pounds.
Its EBITDA post adoption of IFRS16 came in at 44.4 million pounds, up from 41.8 million pounds the prior year.