Boohoo has posted a drop in full year sales and profit following the impact of the cost of living crisis.
In the 12 months to 28 February, revenue declined by 11% to £1.77 billion after UK and revenues fell by 9% and 13% respectively. However, revenue was 43% higher than in the retailer’s last reporting year prior to the pandemic.
Meanwhile adjusted EBITDA dropped by 49% to £63.3 million.
Boohoo said its business had been impacted by freight and logistics inflation related to the pandemic, as well as rising labour and energy costs. In addition, the retailer has been investing heavily in its operations, including its US distribution centre.
In the year ahead, Boohoo will be focusing on rebuilding profitability and its Back to Growth strategy. For the 12 months ending 28 February 2024, it expects revenues to be between flat and a decline of 5% year-on-year.
