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In The Style reports strong full-year sales, returns to profit

By Huw Hughes

Jul. 27, 2021

Business

Image: In The Style

British womenswear retailer In The Style has reported soaring full-year revenue as it returned to profit in the 12 months to March 31.

The Manchester-based fashion e-tailer, which debuted on the London Stock Exchange’s AIM market earlier this year, reported a 132 percent increase in revenue to 44.7 million pounds as it continued to benefit from consumers’ shift to online shopping.

Breaking that down by channel, direct-to-consumer revenue increased 108 percent to 36.4 million pounds, while wholesale revenue was up 353 percent to 8.3 million pounds.

Sales via the company’s propriety In The Style app increased significantly, representing 55 percent of total e-commerce sales during the period, up from 19 percent a year ago.

In The Style returns to profitability

Adjusted EBITDA increased to 3.8 million pounds, which was ahead of expectations and compared to a loss of 1.1 million pounds a year earlier.

The company swung to a profit before tax of 125,000 pounds compared to a loss of 2.1 million pounds a year ago, while its adjusted profit before tax was 2.5 million pounds, compared to a loss of 2.2 million pounds in the prior-year period.

Other highlights for the retailer during the year included a 30 percent increase in website visits, a 16 percent increase in order frequency, a 19 percent increase in new customer acquisition, and a 62bps improvement in conversion rate.

Founded in 2013, In The Style has been growing rapidly in recent years and in March launched its IPO, which raised 11 million pounds in gross proceeds.

The company’s CEO and founder Adam Frisby described FY21 as a “transformational year”, and hailed the business’ “outstanding growth and strategic progress”.

“Central to our success is our differentiated influencer collaboration model that creates a strong customer connection, drives highly efficient customer acquisition marketing metrics, and gives us exposure to a broad range of customers,” he said in a release.

Frisby said the company has “maintained very positive trading momentum”, with sales in Q1 44 percent ahead of the prior year, “despite the strong ‘lockdown’ comparatives in FY21”.