Dr Martens has revealed annual income slumped as gross sales got here below strain and it cautioned over ongoing falling revenues within the UK.
The footwear group reported pre-tax income of £8.8 million for the yr to 30 March, down from £93 million the earlier yr, after seeing gross sales fall 10%.
On an underlying foundation, pre-tax income slumped to £34.1 million from £97.2 million.
The group mentioned gross sales to shoppers within the US returned to development within the second half of the yr and have continued to extend, however revealed UK revenues have remained decrease because the year-end “because of a difficult market”.
It added that unfavourable international change charges would see it take a success to group gross sales and income of round £18 million and £3 million respectively in 2025-26.
Regardless of this, Dr Martens mentioned it expects underlying income to rise “considerably” over the monetary yr forward, with analysts anticipating a soar to between £54 million and £74 million.
It flagged uncertainty over the influence of upper tariffs, however mentioned it was holding off from worth hikes for the the rest of 2025.
Its inventory is already within the US marketplace for the spring/summer time season and both there or on its method for the autumn/winter.
“We do nevertheless recognise that there’s continued macroeconomic uncertainty and the total final result of tariffs remains to be unknown, and we are going to monitor this intently by way of the yr and take motion as acceptable,” the group mentioned.
The Northamptonshire-based firm outlined new plans for development alongside its outcomes, with goals to draw new consumers and maintain off from reductions in EMEA and the Americas.
Annual figures confirmed gross sales gross sales dropped 11.4% over the yr, though retail lifted 1% within the last six months.
Within the Europe, Center East and Africa (EMEA) area, gross sales fell 11%, with direct-to-consumer issue amid a extremely promotional market – notably within the UK.
The corporate, whose yellow-stitched boots have been a retro mainstay for many years, has been within the doldrums lately, with declining revenues exacerbated by the cost-of-living disaster.
CEO Ije Nwokorie
It listed on the London Inventory Alternate in 2021, and has since issued a slew of revenue warnings and changed its CEO.
Lots of Dr Martens’ latest issues have come from steep declines in gross sales within the US, however new CEO Ije Nwokorie mentioned the group had stabilised previously yr.
He mentioned: “Our single focus in 2024-25 was to carry stability again to Dr Martens.
“We have now achieved this by returning our direct-to-consumer channel within the Americas again to development, resetting our advertising method to focus relentlessly on our merchandise, delivering value financial savings and considerably strengthening our stability sheet.”
Nwokorie, beforehand the agency’s Head of Advertising earlier than taking up the highest job from Kenny Wilson on 6 January, mentioned: “I’m laser-focused on day-to-day execution, managing prices and sustaining our operational self-discipline whereas we navigate the present macroeconomic uncertainties.”
Final week, the corporate sought to strengthen its management workforce by appointing Carla Murphy from Adidas as its new Chief Model Officer and former Nike director Paul Zadof as its Americas President.
