UK retail conglomerate Frasers Group plc has announced an unsolicited all-cash on-market takeover offer to acquire all outstanding ordinary shares in Australian performance and lifestyle footwear retailer Accent Group Limited that it does not already own.

The offer is set at 0.65 Australian dollars per share, valuing the remaining 77.10 percent stake in the business at approximately 316 million Australian dollars, which is equivalent to 166 million pounds. The offer attaches no conditions and values the entire Australian retail group at 390 million Australian dollars.

The UK corporate entity currently holds a 22.90 percent stake in Accent Group, acquired at an historical average price exceeding 0.90 Australian dollars per share. Under the Australian Corporations Act, a formal takeover bid is required for Frasers Group to increase its holding beyond the 20 percent threshold.

Accent Group board advises shareholders to take no action

The board of directors at Accent Group, working alongside financial adviser Luminis Partners and legal adviser Arnold Bloch Leibler, has issued an initial statement advising its shareholders to take no action regarding the unsolicited proposal.

The board highlighted that the offer price of 0.65 Australian dollars represents zero premium relative to the last closing price of the shares on June 12, 2026. Board members also noted that because the bid is structured as an on-market offer, shareholders who sell their equities through the market broker will be unable to withdraw their sales or participate in any potential price improvements or superior competing proposals.

The official offer period is scheduled to commence at the opening of trading on the Australian Securities Exchange (ASX) on June 30, 2026, and will conclude at the close of trading on July 30, 2026, unless extended or withdrawn. Shareholders are permitted to sell their equities to the appointed broker, Barrenjoey Markets Pty Limited, on-market starting from June 15, 2026.

Strategic disagreements over cross-border retail rollout catalyst for offer

The hostile bid follows a downward adjustment of an ongoing retail partnership between the two companies. In April 2025, the businesses entered a subscription and distribution agreement to launch the retail banner Sports Direct in Australia, targeting 50 store openings over a six-year horizon.

The initial expansion target was revised downward in May 2026 to eight stores by December 2026 and 30 stores within three years, with the 50-store goal deferred indefinitely. Frasers Group chief financial officer Christopher Wootton stated that the recent financial performance, capital management, and approach to growth under the leadership of Accent Group chairman Lawrence Myers served as the catalyst for the takeover bid.

The UK firm stated it had made repeated attempts to engage constructively with the incumbent management team regarding declining earnings, rising borrowings, and high dividend distributions, but received no meaningful response. The primary objective of the offer is to reach a minimum 26 percent ownership level, which triggers the contractual right to nominate a second board director to influence strategic operations and protect the value of the investment.

The transaction follows a broader international expansion strategy by Frasers Group, which launched a voluntary public takeover offer last week to acquire the remaining shares of German fashion house Hugo Boss AG for approximately 1.98 billion euros.

Madrid – Spanish department store group El Corte Inglés reported the results for its last fiscal year 2025 on Monday morning. For the period ending February 28, 2026, the company increased its revenues and profits while continuing to reduce its debt.

According to information provided by the Spanish company's management, El Corte Inglés (ECI) closed its 2025/2026 financial year with total revenues of 17,247 million euros. This figure represents a +3.43 percent increase from the 16,675 million euros generated in the previous fiscal year 2024. The company specified that 14,988 million euros of this revenue was recorded as turnover. This represents an increase of just +1.36 percent compared to the 14,786.06 million euros the group generated from its operations in 2024.

In terms of profitability, the company reported a net profit of 628 million euros at the close of the financial year. This is a +22.65 percent increase compared to the 512 million euros in profit recorded a year ago. This figure translated into a recurring net profit of 522 million euros, up +11 percent from the 470 million euros of recurring net profit recorded in 2024.

Rounding out the main economic indicators for the 2025 financial year, the management of El Corte Inglés highlighted both the growth in EBITDA, which rose from 1,209 to 1,266 million euros (+4.7 percent), and the reduction of its net debt to 148 million euros. They noted this reduction allowed the group to end the year with a debt level of 1.3 times its EBITDA, “the lowest in almost two decades”.

“These results demonstrate the company's strength and allow us to confidently approach the coming years with greater investment and growth, with the aspiration of always making the experience unique for all El Corte Inglés customers,” stated Cristina Álvarez, president of El Corte Inglés. This was the first results presentation since her effective appointment as the new president of the board of directors on January 15.

Fashion and beauty as a key business unit

Analysing the group's performance by business area, the retail business is once again the main source of revenue for ECI, with a total revenue of 13,216 million euros (+1.84 percent year-over-year growth).

As part of this performance, sales in the 'Fashion and Beauty' division continued to be a key element of the group's balance sheet, with turnover rising to 5,882 million euros (+3.11 percent). This was followed by sales from the 'Food and Catering' division at 3,064 million euros (+0.66 percent); 'Home and Electronics' at 2,776 million euros (+2.94 percent); and a third miscellaneous category of other income amounting to approximately 1,494 million euros (+42.17 percent).

By channel, the company did not specify the breakdown of this retail revenue between its brick and mortar stores and its e-commerce platforms. The online environment is understood to still have a minor impact on ECI's balance sheet. It was only noted that the company has 16.3 million registered customers on its online platform, and that visits to the group's websites and apps rose in 2025 to over 1.01 billion (+12.93 percent).

Viajes El Corte Inglés grows by +70 percent

Regarding the performance of its other business lines outside of retail, revenue from 'Space Commercialisation' rose to 95 million euros (+14.93 percent), and 'Viajes El Corte Inglés' revenue reached 3,489 million euros (+69.88 percent). The breakdown is completed by the 'other business lines' in which the department store group participates. These include 'Financiera El Corte Inglés', which ended the year with a net profit of 56 million euros (+10.7 percent), and 'Seguros El Corte Inglés', which posted a net profit of 71 million euros (+6.3 percent).

Increase in investments

The company has confirmed new investments of around 650 million euros for the 2026 financial year. This decision follows the strong performance of its business divisions, improved financial control leading to debt reduction, and a 311 million euro increase in the Group's asset value from investments made in 2025. This amount was previously announced in January, coinciding with Cristina Álvarez's official start as president of El Corte Inglés, and will be part of the company's new strategic plan for 2025 to 2030. This roadmap includes a commitment to invest three billion euros, of which 567 million were executed in 2025. This initial 'investment effort' has now been increased by +14.63 percent to the 650 million euros committed for 2026 by ECI's management. The company will hold its next General Shareholders' Meeting on July 24.

Paris - More than two years after a bill to curb the rise of “fast fashion”, epitomised by the giant Shein, was adopted by the National Assembly, its progress will resume in parliament. A highly anticipated meeting has been scheduled for next week.

Adopted by MPs in March 2024 and then by the Senate in June 2025, the bill from Horizons MP Anne-Cécile Violland was subsequently sent to the European Commission to assess its compliance with European law.

The EU executive opposed the text on several points, leading to lengthy discussions with the French government. This delayed the convening of a joint committee (CMP), a necessary next step for the bill to be passed by parliament. Several associations expressed outrage at the deadlock.

This meeting between MPs and senators, which must result in an agreed text between the two chambers, has finally been scheduled for June 17, Violland announced on Friday. The government has confirmed this information.

"France has responded firmly and with reasoned arguments to the European Commission's observations," the MP stated in a press release. "The CMP will be the precise opportunity to find a robust, ambitious wording that is compatible with the European legal framework," she added.

The bill introduces a whole range of tools to limit the rapidly expanding phenomenon of “fast fashion”, this ultra-ephemeral fashion, through measures such as an advertising ban and financial penalties.

"This law must finally distinguish, in our legislation, between companies that have chosen the ecological transition (...) and those that continue to thrive on a destructive model – for the planet, for our health, and for French textile jobs," stressed Anne-Cécile Violland.

If a compromise text is approved in the CMP, it will still need to be adopted by both chambers for the law to be definitively passed.

Madrid – The president of the United States, Donald J. Trump, has announced that the country has reached a definitive peace agreement with the Islamic Republic of Iran. This will put an end to the armed confrontations between the two countries and will allow for the complete, toll-free reopening of the Strait of Hormuz. The treaty will be officially signed by representatives of both countries this coming Friday, June 19, 2026.

The armed conflict between the United States, Israel and Iran erupted with attacks by the first two countries against the Islamic republic last Saturday, February 28. A contentious bilateral ceasefire, fraught with tension, was announced in early April. Three months have now passed, leading to a definitive treaty to end this latest conflict that has been shaking the entire Middle East region since the beginning of the year. The agreement has now been finalised, with only a few minor issues remaining to be settled before its final signing this Friday, June 19, 2026.

The president of the United States, Donald J. Trump, made the announcement via his official account on his social network, Truth. The profile serves as a de facto press office for his presidency, frequently used to disseminate significant information affecting the country and its foreign relations. This time, the news concerned the definitive peace agreement reached with the Republic of Iran. Trump reported the news just a few hours after admonishing Israel for its recent attacks in Lebanon. He was also participating in the “UFC Freedom 250” celebrations. The highly controversial fight took place on Sunday evening, June 14, 2026, Washington DC time, on the White House lawns. It was held to celebrate the 250th anniversary of the country's founding and President Trump's 80th birthday. The event featured the undisputed lightweight title fight, which resulted in a victory for American Justin Gaethje over Spanish-Georgian Ilia Topuria.

“The agreement with the Islamic Republic of Iran is now complete,” President Donald Trump announced on his Truth account at 11:29pm this Sunday, June 14, US East Coast time. “Congratulations to all,” the US president celebrated, before continuing to decree that “I hereby fully authorise the toll-free opening of the Strait of Hormuz and, simultaneously, authorise the immediate withdrawal of the United States naval blockade.” He added, concluding with “ships of the world, start your engines” and “let the oil flow!”.

Following up on that first announcement, about an hour later, around 12:27am on Monday, June 15, Washington DC time, Trump posted an additional note, also on Truth. He highlighted that “this great agreement will bring peace and security to the entire region.” The US president congratulated himself, stating, “Many presidents have tried to achieve peace with Iran, and all have failed before me.” He continued, “The leaders of the region have, for the first time, found a president who can help them achieve true peace.” “With the opening of the strait after the signing of the agreement on Friday, and the removal of the mines, oil will flow again at both ends for the region, and for the world.”

Signing on Friday, June 19, in Switzerland

It has not yet been confirmed who will participate in the treaty signing ceremony. It is not even out of the question that the US president himself, who is travelling to Europe this week for the G7 summit starting this Monday in the French city of Évian, may ratify it. However, the prime minister of Pakistan, Shehbaz Sharif, had already announced that the signing would take place on Friday before Trump did. The Pakistani leader, acting as a mediator in the negotiations, also added that the signing will take place in Switzerland. He confirmed that the treaty includes an end to all military operations on all fronts, including Lebanon.

“After intense negotiations, we are pleased to announce that a Peace Agreement has been reached between the United States of America and the Islamic Republic of Iran,” Sharif announced on his official X account. Under the agreement, “both parties have declared an immediate and definitive cessation of military operations on all fronts, including Lebanon.” He continued, “The official signing ceremony will take place on Friday, June 19, in Switzerland.” Looking ahead to the ceremony, he added, “we thank the United States of America and the Islamic Republic of Iran for their commitment to finding a diplomatic solution to the conflict.” “We also express our sincere gratitude to our brothers in this mediation effort, to the great leadership of the state of Qatar, for their support in reaching this agreement.” “We especially thank the visionary leadership of the Kingdom of Saudi Arabia and the Republic of Turkey for their immense contributions in this regard.” “With the agreement now closed, the mediators will facilitate a series of meetings this week.” These “pre-implementation talks,” the prime minister of Pakistan noted, “will lay the groundwork for the technical negotiations and the official signing ceremony.”

The digital product passport (DPP) is currently being rolled out under the EU's Ecodesign for Sustainable Products Regulation (ESPR). From 2027, it will be mandatory for priority product groups, including garments and textiles, and will apply to almost all physical goods sold in the EU, regardless of where the manufacturer is located.

For fashion brands and retailers, the DPP provides many advantages that go beyond mere compliance, from transparent communication with consumers to tracking and documenting one’s carbon footprint. On the data side itself, switching from various, fragmented data sources to one comprehensive platform is a big relief, avoiding duplicate data entry and being able to respond to data requests faster and more efficiently.

FashionUnited looked at six brands and their DPP story as well as one solution provider that managed to build successful data identities and the data foundation behind it. By “simply showing the work behind a product,” they are tapping into the future of fashion

Dedicated

Stockholm-based label Dedicated evolved from a retail-only T-shirt business into a full-fledged fashion brand in 2012, proving that bold colours and playful graphics can be sustainable. When corporate social responsibility (CSR) head Margaux Schleder joined the company in 2019, it knew all its Tier 1 suppliers and had partial visibility into Tier 2 and some cotton sources, but traceability information was stored in Excel files, which were maintained manually. “I was spending more time organising data than using it. And traceability is not a goal on its own. You need it for communication, for carbon footprinting, for B2B clients. We needed a system,” recalls Schleder in an online statement.

Joining the transparency platform by software provider Retraced had two key advantages: better internal traceability workflows and customer-facing transparency tools. Today, 88 percent of Tier 1 suppliers have been onboarded, 85 percent of the product volume can be traced back to cotton producers and 100 percent of DPPs have been integrated into the online shop. Retraced’s built-in widgets makes it easy to publish verified supply chain data directly to product pages.

Looking ahead, Dedicated wants to strengthen its traceability system further. The next step is onboarding more suppliers and using the new Supply Chain Mapping feature to track sourcing decisions earlier in the process. “We want to be involved from the beginning, especially with the current disruptions in organic and fair trade cotton,” explains Schleder.

King Louie

Dutch fashion brand King Louie started as a vintage market stall in Amsterdam and today has more than 900 stores across Europe. The label is known for vintage-inspired clothing that is made to last and sourced responsibly. In 2025, 77 percent of the collection was made from certified organic, recycled or lower-impact materials, and 99 percent of transport is done without airfreight.

“We are not a brand that shouts how sustainable we are. But we want to be transparent. Our customers care and so do we. That is why we needed a way to show the work behind each product,” states Laura Tol, CSR specialist at King Louie, in a blog post. Documentation and speed was the problem: Sustainability data lived in folders and spreadsheets and follow‑up was manual, document collection was done via email. This meant less capacity for strategic improvements and slower responses to buyers’ compliance deadlines.

“At some point, we were spending more time chasing documents than using them. We needed a system that helped us stay on top of things without adding another layer of work,” recalls Tol. King Louie implemented Retraced as a centralised system to support all of the brand’s supply chain activities from onboarding and compliance to communication and collaboration.

Today, all active suppliers have been onboarded and manage their data in the platform. Certification tracking is fully automated, thus reducing the need for monthly follow-ups. DPPs have been completely integrated in the online shop, in stores and in B2B showrooms. That means every product comes with a DPP, which shows the supply chain including audit scores and certifications. “We train our store teams to talk about it. Our marketing team uses it in campaigns. And our customers can scan the tag and see the full story. Some want just the basics. Others go deep. It works for both,” confirms Tol. In addition to the platform, King Louie hosts swap events, upcycling workshops and product styling sessions as part of an independent sustainability content and community strategy designed to make eco-friendly practices more engaging and accessible.

KnowledgeCotton Apparel

Danish sustainability-driven brand KnowledgeCotton Apparel was inspired by the organic fibre work of the founder’s father. Since foundation in 2008, it has grown into a globally recognised brand. However, keeping track of suppliers, certifications and data requests became increasingly difficult as the business grew. “We had the information — it just was not accessible,” recalls COO Anders Langhoff-Jensen in an online post. “If a buyer asked for a specific audit or certificate, we had to dig through folders or Excel files.”

Implementation into one system began country by country, starting with Tier 1 suppliers and working down to the raw material level. “We have now mapped every supply chain. Not just Tier 1 and 2, but all the way to the source,” reports buying assistant Mads Mariboe. “It was a challenge at first, especially in regions like China. But the Retraced team supported us closely. Their Mandarin-speaking staff helped us onboard even the more cautious suppliers.”

Since early 2024, every KnowledgeCotton garment includes a DPP via QR code, which gives access to its full production journey, regardless if a product is accessed in store or online. “We added the QR code from Retraced to our care labels and hangtags. Now sales teams and customers can see all the production steps without needing to ask or wait. It is very helpful in retail settings. When a customer asks where something was made, the answer is a scan away. It can reveal the 15 steps behind a single T-shirt,” explains Langhoff-Jensen.

Going forward, KnowledgeCottton Apparel wants to include a garment’s environmental footprint. “We are working with Carbonfact to link emissions data to the same product-level QR code,” adds Langhoff-Jensen. “Ideally, everything a customer or partner needs to know is available through one label.”

Löffler

Austrian brand Löffler, founded in 1973, not only makes performance apparel but also produces more than two-thirds of its fabrics in-house and handles nearly every step of the supply chain: from yarn selection and knitting to finishing, cutting and sewing. While the company gained deep insights into its supply chain through this vertical integration, the challenge was to make this transparency visible to retailers and end customers.

Personal contact over the course of three months helped bring over 50 suppliers onto the platform, from yarn suppliers and dye houses to trim providers and sewing partners. “Emails were not enough. I learned that a short 15-minute video call worked best. I would walk them through what needed to be done in Retraced, and we would get it done on the spot. We kept things simple at first and only asked for core company data, certifications and short descriptions. We would expand over time, but the foundation is there,” states Markus Reisegger, head of Sustainability at Löffler, in a blog post.

Every product in the brand’s main collection, apart from gloves and socks, now features a QR code that links to its supply chain data, thus laying the DPP foundation. One hundred percent of the own-brand summer 2026 collection will be traceable via QR code. The next step is to explore modules for product-level environmental data and to deepen supplier engagement.

Pangaia

Pangaia was founded in 2019 as a platform to scale breakthrough material solutions. Today, the London-based clothing brand is offering contemporary wardrobe staples made from bio-based, regenerative, recycled and responsibly sourced materials. Communicating that to the consumers has been always been a priority: “At Pangaia, we have long believed that transparency and circularity require a digital layer that travels with a product throughout its lifecycle. That is what initially drew us to digital product passports and why we explored this space so early on, before it became a regulatory priority,” explains Maria Srivastava, chief impact officer at Pangaia, when talking to FashionUnited.

“What has been most interesting to watch since then is how the industry conversation has evolved,” she adds. “A few years ago, digital passports were often viewed as a bit of an experiment. Today, they are increasingly recognised as critical infrastructure for the future of fashion. Brands are realising that trusted product-level data can support everything from compliance and traceability to resale, repair, authentication and deeper consumer engagement.”

Asked about one of the biggest lessons from early efforts across the industry, Srivastava mentions that “the challenge is not simply creating a digital identity—it is building the data foundation behind it.” She stresses that this “requires greater visibility into fashion’s notoriously complicated supply chains, stronger collaboration with partners and understanding of the systems that can connect information from multiple sources in a way that makes sense.”

The way forward is thus not about the ‘why’ of DPPs but the ‘how’. “As regulations accelerate and consumer expectations continue to evolve, I think we are reaching an inflection point. The most forward-looking brands are no longer asking whether they need digital product passports; they are asking how to use them to create better products, more transparent customer experiences and new circular business models. That is where the real opportunity lies, beyond compliance and into shaping the industry’s future,” concludes Srivastava.

Tom Tailor

At Hamburg-based fashion brand Tom Tailor, starting the implementation process had two main objectives: to achieve transparency across the supply chain, down to the raw material level, and to ensure compliance with the Due Diligence Act and other upcoming regulations. It took only three months to onboard 80 Tier 1 and 160 Tier 2 suppliers; today, this number is at 100 percent.

“It was about genuine collaboration—engaging with our suppliers at eye level and fostering a spirit of partnership. By approaching them with gratitude and recognising their role in helping us to meet these standards, rather than applying pressure, we achieved a more effective and supportive working relationship,” recounts Juliane Nowakowski, head of sustainability & corporate responsibility at Tom Tailor, in an online post.

The tracing journey started with a pilot in early 2023, where the brand selected three purchase orders (POs) per sourcing country, across nine countries, resulting in around 27 to 30 orders to trace. Following the successful pilot, Tom Tailor decided to fully integrate the tracing process for every product, starting from January 2024. Since April 2024, the company has implemented Retraced’s QR codes on every product’s wash care label, detailing each product’s journey.  

“Since we started tracing on purchase order level in early 2024, we have already traced 17 percent of more than 5000 POs to the raw material level and a further 13 percent to yarn level. Tracing for these POs is still ongoing,” reports Nowakowski.

Insights from Retraced

Many of the brands mentioned above went on their DPP journey together with Retraced, an AI-first platform for sourcing, product compliance, and supplier lifecycle collaboration. FashionUnited spoke with Lukas Puender, co-founder and CEO of Retraced, to find out more about the challenges that the company and brands usually face, data gaps and how to close them.

What prompted Retraced to focus on the DPP early on, even before it became mandatory?

Retraced actually arose from a completely different problem. The story begins with Cano, a shoe brand with which Philipp Mayer and I wanted to bring Mexican huaraches to Germany. Production took place under fair conditions, and the leather was vegetable-tanned. But how do you communicate that credibly? We wanted our customers to be able to scan the shoe to digitally see who made it, how it was manufactured and where the materials came from.

But there was no suitable solution available. So we built it ourselves, which laid the foundation for Retraced. That was in 2018, years before the DPP was even a topic of discussion in Brussels. Our starting point, therefore, was not compliance but the conviction that consumers have the right to know what they are buying, and that brands that can demonstrate this have a real advantage. The digital product passport was therefore, from the very beginning, an instrument of proactive transparency for us.

What challenges did you face initially, and what challenges exist now?

Initially, we had to do a lot of explaining: How can a brand communicate transparency to consumers? How does that pay off economically? Back then, for many, it was still just a “nice to have.”

Today, regulation has settled that discussion. The challenge is different: How do you build reliable data across four or five supply chain tiers? Many brands know their Tier 1 suppliers well. What happens along the chain, at spinning mills, dye factories and raw material suppliers, is often still a black box. That is precisely where the real work lies. And the larger the brand, the more complex the supplier network becomes, and the more a transparency solution needs to be scalable and efficient.

What data gap have you discovered when mapping multi-tiered supply chains?

Tier 1 suppliers, the direct manufacturing companies, are generally well documented. The problem starts at Tier 2, with weaving mills, spinning mills and dye factories. Most brands audit their Tier 1 suppliers, but many risks, such as environmental violations or poor working conditions, are hidden further down the chain and often only surface late.

The underlying structural problem is that each stage of the supply chain has its own formats, its own certification schemes, its own way of documenting—or not documenting—data. Proprietary formats and silos make it difficult to combine or compare data across schemes, actors, and regions. There is no common data model for multi-certification scenarios in multi-tiered supply chains. We are building precisely this common infrastructure. With over 30,000 suppliers in our network, we are already well on our way to achieving this.

How do you motivate suppliers and customers who are hesitant to disclose information about their production facilities or other relevant data?

Hesitation almost always has a specific reason. Suppliers often fear that transparency makes them vulnerable to competitors, auditors or brands that might then exert price pressure. This cannot be solved with a fancy onboarding brochure. What truly helps is building trust before requesting data. This means clarifying who has access, what happens to the data and what does not. It also means starting with suppliers who are already open, so others can see that transparency is not a trap.

Our argument is pragmatic: Once data is cleanly entered into Retraced, it does not need to be reprocessed for every new brand. Suppliers exchange verified product and material data once, stay synchronised with buyer requirements and reduce repetitive tasks through a single collaborative system. This is not about doing the brand a favour; it saves the supplier time and resources.

For the brands themselves, the motivation is usually a mix of pressure and calculation. Regulation is coming anyway, as the DPP will become mandatory in 2030. Those who start now build the data foundation step by step. Those who wait will only create stress for themselves.

At what point in the manufacturing process is the digital identifier (QR code) actually assigned?

This depends on the product type and the maturity of the supply chain, but the clear recommendation is: as late as possible in the process, and at the item level. A decision must be made as to whether to identify products at the item, batch, or model level, and how this ID will appear on the product, ideally as a 2D barcode such as a QR code, which can coexist alongside existing retail barcodes.

Assigning the QR code at the fiber processing level makes little technical sense because too many production variables remain undefined. A more realistic approach is to assign the ID after the garment is finished, either on the hanger or in the label, at a point when the product ID is stable and can be linked to all stored supply chain data.

How can brands ensure that the digital ID remains legible even after years of washing or heavy use?

The DPP makes product data accessible via a digital carrier, and QR codes, NFC chips, or RFID are all fundamentally possible. QR codes are currently considered the de facto standard for the DPP because any smartphone can read them without a special app. RFID is better suited as a supplementary carrier for logistics, not as a primary access point for consumers. NFC chips are an interesting interim solution, more robust than printed codes, but more expensive per unit.

Crucially, however, the durability of these data carriers over multiple usage cycles is an open standardisation issue that legislation has not yet resolved. So we don't yet know exactly what the EU will ultimately mandate. What we do know is that the actual data is not contained in the code, but in the underlying data system. The carrier is merely the key. This means that even if a QR code fades after years or a label needs to be replaced, the product passport remains intact. The challenge is physical, not digital. We work closely with label manufacturers on this, as they have more experience in this area than we do.

Regarding certified materials, how does the new module help with the automated management of transaction certificates?

Let's take GOTS-certified cotton as an example. The Scope Certificate confirms that a factory is certified. The Transaction Certificate confirms that the specific shipment actually comes from this certified factory. Both are needed to credibly substantiate a material claim. Currently, this is usually done via email, as a PDF, stored somewhere in a folder, and if an auditor asks, the search begins. In the Retraced platform, all documents are automatically retrieved from the suppliers.

The Retraced platform automatically collects all documents from suppliers. Scope Certificates from production facilities and their corresponding transaction certificates are then stored in one central location, complete with expiration alerts when a certification is about to expire. The transaction certificates are also directly matched and linked to the product deliveries. If a transaction certificate doesn't match the delivery, the system issues a warning. While this may sound straightforward, in practice it saves an enormous amount of time—in our experience, around 90 percent of the work. For many brands, this equates to several weeks of manual effort. This solution closes precisely the gap that fuels many greenwashing accusations today.

All interviews were conducted in written format.

In a fashion landscape defined by increasingly complex supply chains and globalised tensions, the UK’s ‘farm to fashion’ movement has emerged as a stabilising presence. Such setups are not exactly new in the way of localisation, yet the format is being revived and modernised alongside a cross-industry call for a return to “Britishness”.

Many of these systems are rooted in the heritage and indigenous nature of certain textiles in the UK. Materials like leather, wool and flax have long been associated with the country. However, as industrialisation and globalisation took hold, they lost their status to cheaper, more scalable imports.

Now, in the wake of geopolitical shifts, agricultural challenges, and a broadening desire for transparency, fashion brands seem to be turning inwards in their pursuit of a viable textile supply and production process. In addition, fresher labels have emerged as captains of this movement, operating entire ecosystems that are wholly based inland and, often, just a stone’s throw away from where their products are finalised.

Many of these companies are built by one individual or a small team who have ingrained traceability into their framework from the outset. They therefore serve as examples of moving beyond industrialised systems and globalised supply chains, and returning to a homegrown approach to creation.

What has unfolded is a movement focused on rebuilding regional fibre and craft networks; taking the consumer from soil to garment, preserving heritage crafts, boosting rural economics, and cutting down the carbon footprint typically associated with clothing production. Here are some companies leading the way.

Herd: “The ‘grow to wear’ movement offers genuine connection in an increasingly fast-paced world…”

Self-proclaimed serial entrepreneur Ruth Alice Rands had a vision for a brand that not only produced high-quality knitwear, but also prioritised local production methods. She was specifically drawn to the intricacies of British wool and its long-spanning history, and embarked on a journey to source wearable local yarn. It was the wool of the native Bluefaced Leicester sheep she landed on, having identified the material for its power to soften blends.

Merging an ability to knit with a passion for provenance, Rands then established Herd in 2020. The company’s wool is sourced from over 40 sheep farmers across the North of England before it’s transferred to factories in Yorkshire less than 50 miles away. “It is a more lengthy and costly process but this uncompromising attention to detail shows in the hand-feel of our knitwear and tweed,” Rand told FashionUnited. “Not only does this mean we can consistently offer the finest British yarn, we also pay farmers directly, guaranteeing them a fair rate every year.”

Rands had initially started out in yarn wholesale, supplying brands like Sunspel and Toast. This division was then halted in 2022 when momentum for Herd’s own knitwear took off. The company has since expanded into leather, cotton and linen, and for its latest SS26 collection has included localised details like lace and buttons from the last remaining UK suppliers for these products. Rands’ philosophy extends into all aspects of the business, including colouring yarn with plant dye, a process that has been scaled with a Yorkshire-based factory.

To Rands, the farm-to-fashion movement–akin to farm-to-table movement–celebrates provenance and natural philosophies that work with nature’s abundance and support personal and worldly wellness. “Our customers love knowing the details, from the characteristics of the breed to the methodology of our plant dyeing, which makes the finished pieces so special and timeless,” Rands said. “The ‘grow to wear’ movement offers genuine connection in an increasingly fast-paced world, and insights into the pre-digital worlds of farming, manufacturing and craft, an increasingly necessary balm of our times.”

Billy Tannery: “Customers are bored of empty sustainability statements, we’re focused on showing the whole process…”

Billy Tannery was founded in 2016 by Jack Millington, who returned to the Midlands after a stint in London in pursuit of a more hands-on lifestyle. He set out to find a solution for waste from the food industry while also addressing the decline in British leather. What emerged was the establishment of a small-batch tannery, which had at first focused on the production of handmade goat leather goods, before expanding into deer leather and bespoke hospitality products.

The farm answers the question of what happens to animals that may not make it through the food chain. Male goats born on a dairy farm, for example, were often killed straight after birth before meat companies stepped in, while numerous deer were being culled each year to prevent damage to native ecosystems, yet their skins were going to waste. Millington tapped into the UK’s centuries-old leather knowledge to provide an alternative to this waste, and sought to challenge misconceptions surrounding leather by setting up a framework for bringing production methods closer to home.

According to the company, all leather is sourced as a food by-product and tanned using bark extracts in the UK, creating products that embrace natural variations and are therefore free from plastic coatings and pigments. Products, most of which are bags, backpacks and accessories, are made with two artisanal workshops in Somerset and Leicestershire and typically consist of clean lines and seasonless designs.

Millington said: “At Billy Tannery, connecting the dots in our entire supply chain - from the source to our farm micro-tannery and workshops, and directly to customers - is all about trust and transparency. Customers are bored of empty sustainability statements so instead we’re focused on showing the whole process as honestly as possible. Our small-batch methods are less about scarcity and more about total oversight. Our customers want to feel connected to the British countryside and we want our leather to be the medium. Scars and all.”

Glencroft: “It’s essential our customers understand they are paying for a product that is better made because it’s entirely traceable…”

Family business Glencroft has specialised in classic countrywear since 1987, and has used 100 percent British wool for all of its knit products throughout its lifespan. As the business grew, the team–consisting of founders, husband and wife duo Richard and Justina Sexton and their son Edward Sexton–began to question how to incorporate wool from sheep within Clapham–their corner of Yorkshire–and in turn support farmers looking to broaden their scope.

In 2021, Glencroft began expanding with its own wool, starting with the minimum commercial quantity of 500 kilograms. After partnering with the Yorkshire Dales National Park, the project took off, resulting in what is now known as Clapdale Wool. The initiative sources fleeces from seven local farmers, many of whom Edward grew up with at the local school and now own local breeds like Dalesbred and Texel, which are not traditionally associated with knitting wool.

“The global supply chain is efficient but it has caused consumers to lose touch with where their products actually come from,” Edward Sexton said. “As a small family business, we can’t compete on price with massive brands manufacturing overseas. But while these brands pay lip service to sustainability, it creates an opportunity for smaller brands like us to use our local connections, and in our case our proximity to Yorkshire - one of the oldest wool processing areas in the world.”

Clapdale uses wool with little monetary value to create premium, traceable products, each made within a local supply chain network. In 2022, the company sourced three tones of wool to make mixed-breed yarn for limited edition knitwear or to weave into tweed products. Farmers were then paid a premium of at least one pound per kilo to cover their shearing costs, and a further 10 percent share of profits. While Clapdale recognised the challenge of processing and selling through this amount of wool, the company said it was looking forward to sourcing more in summer 2026.

Sexton added: “For a small business making premium knitwear, it’s essential that our customers understand they are paying for a product that lasts longer and is made better because it is entirely traceable. There is absolutely no disconnect between our brand, the fibres, and the people involved from the beginning to end. I can even take you into the fields next to our office and show you which sheep our jumpers are made from.”

Madrid – Spanish robotics start-up Theker Robotics has confirmed the closing of its latest funding round of 85 million dollars. The emerging company specialises in the design, production and marketing of robots for industrial process automation. The funds were contributed by a diverse group of investors, both old and new. These include the Inditex group and one of the Arnault family's investment firms, who are key shareholders in the luxury multinational LVMH.

According to information provided and made public by Theker's management, the 85 million dollars raised make this Series A funding round the largest ever closed by a robotics company in Europe. This specific round was led by US venture capital firm CRV, marking one of its first investments in a Spanish company. It was also backed by South Korean technology multinational Samsung, which is noted as its first investment in a Spanish company. Support also came from Aglaé Ventures, a venture capital firm with offices in Paris, New York and San Francisco. Aglaé Ventures is backed by Groupe Arnault, the family holding company through which the Arnault family controls its stake in the French luxury multinational LVMH.

In addition to these names, the robotics company also highlighted the participation of both existing and new investors in this round. These include groups, investors and venture capital firms such as Cathay Innovation; 20VC; Henkel Ventures; Korelya; Bright Pixel Capital; Carles Reina; Itnig; Spanish investment firm Kfund; Kibo Ventures; Mission; and Inditex. The Spanish fashion multinational has thus once again shown its support for the robotics start-up through investment. It announced its entry into the emerging company almost a year ago, during its 2025 Annual General Meeting last July.

Robotic solutions for the automation of industrial processes

Founded in 2022 in Barcelona by entrepreneurial duo Carla Gómez Cano and Jiaqiang Ye Zhu, Theker Robotics presents itself to potential clients and investors as a robotics company capable of designing, producing and marketing any type of robot for industrial process automation. These solutions are approached from an integral, holistic and circular perspective, and the company intends to accelerate their development thanks to the funds raised in this latest investment round.

In this regard, while stressing that the company does not produce prototypes but that its artificial intelligence (AI) powered robots are already in production, the investment raised in this round will be used to accelerate the integration of its high-capability robots into large industrial conglomerates; to strengthen Theker's technology, AI and robotics platform; and to expand its software, electronics, mechanical engineering and operations teams.

Theker said in a statement, “this round is not the end of the journey, but another step in the right direction. For that reason, thank you to everyone who has helped us get this far, and especially to our team, which maintains a standard that most people consider extremely demanding; to our customers, who push us to be better; and to our investors, old and new, who could see it before the rest of the world. We are building generalist, AI-native robots that adapt in real time to changing environments, with one goal: to solve 100 percent of industrial physical work and to build the world's largest company from Barcelona.”

Interview

“Our goal is to create an ecosystem, not simply a fabric marketplace,” Jeanine Ballone, co-founder and CEO of World Collective explains when asked what her mission is. Ballone launched the digital sourcing platform in 2022 after years of working across what she described as a fragmented and relatively outdated global supply chain. To address these issues, Ballone sought to create a centralised, democratised and inclusive materials library designed to inform and support brands of all sizes.

It was imperative for Ballone that World Collective went beyond sustainability alone. During her time building supply chains from the ground up, specifically at companies like PVH and Germany’s Otto Group, the exec witnessed overused and undervalued systems dominated by huge brands that still lacked the necessary infrastructure to back scalability. “There was no central ecosystem where suppliers, brands, and creatives could connect, share information, and discover opportunities,” Ballone reflects.

A joint infrastructure and SME accessibility

World Collective was therefore established to serve not only as a marketplace, but as a storefront for suppliers, housing materials, innovation, and knowledge under one roof. This was then opened up to brands, many of which didn’t have the resources to access innovative materials due to the minimum order quantities required to source them. In response, World Collective built a demand aggregation platform enabling even SMEs to get involved.

Ballone explains: “A small brand in Japan may only need 25 kilograms, while another brand in Amsterdam may need a similar amount. Together they can reach the supplier's minimum requirement and gain access to materials that would otherwise be unavailable.”

The platform’s launch came amid an industry under pressure, with many brands now operated by reduced teams and, in turn, narrower bandwidths to manage sourcing complexities. As a result, Ballone says she has seen a strong demand for tools that remove friction.

Her vision was shared by other industry leaders who joined in building up the World Collective’s foundations. Julie Tran, who now serves as chief growth officer, has applied her 24-years of experience across workforce management, technology and business operations to the role. After questioning why innovative materials were failing to scale, Tran was drawn to World Collective’s mission and asked to join the team. “What has remained constant is our focus on materials innovation, accessibility, and creating process efficiencies that help brands make better decisions,” she says.

‘We don’t dictate what sustainability means for a brand…’

To ensure consistent quality, all suppliers are vetted and curated with an emphasis on innovation and natural fibres. “We don’t dictate what sustainability means for a brand,” Ballone explains. “Instead, we provide the tools and search criteria that allow brands to make informed decisions based on certifications, standards, and values that matter to them. For example, users can search based on certifications such as Oeko-Tex or Bluesign and identify materials that align with their requirements.”

Such information has become even more integral ahead of incoming EPR regulations, just one definitive factor dictating an industry speedily moving towards regulated transparency and brand accountability. To get ahead of the curve, World Collective has been exploring the idea of a compliance-ready textiles library made up of supplier-level data specifically designed to cater to Digital Product Passport (DPP) laws.

A pilot of the DPP-Ready Library launched for a set period last month alongside DPP infrastructure firm Kinset, initially spotlighting nine certified materials from three suppliers, each displaying information spanning composition to compliance to handling. After initial testing, the library has been put on pause as it moves into its next iteration, with additional materials expected to roll out further into its timeline.

Balancing compliance and regulatory burden

The pilot was a reflection of a long-standing belief of World Collective’s team: that material information should be captured at supplier level and travel with the product through its lifespan. The creation of a supplier-first infrastructure intends to balance out the burden of compliance so that responsibility doesn’t rest entirely on brands.

Despite the library launching prior to DPP regulations being set in stone, Ballone said she could already see where the industry was headed, and so the early introduction was a no-brainer. The mission is to disrupt a currently dysfunctional compliance system, marred by an industry that “keeps pushing responsibility downstream to suppliers without creating the support structures they need”.

The library therefore aims to make the process more efficient, allowing suppliers to maintain more control over their information, adjusting it in one place and approving brand access when needed.

From a brand perspective, Tran also notes benefits, specifically that in the present day these companies are being run by individuals who aren’t necessarily experts in regulatory frameworks. She explains: “Their priority is building products and growing their businesses, not studying global compliance frameworks. We remove that complexity by giving them access to vetted materials and DPP-ready information. That makes it easier for them to build responsibly without needing to become compliance experts.”

While much of World Collective is about accessibility, challenges in the current marketplace also extend to larger brands. To address this, the platform is currently working with brands of this scale on pilot projects targeting specific material categories. The process begins at the design stage, during which teams are aided in the identification of materials that meet their criteria. They are then supported through sampling, sourcing, manufacturing, DPP integration, and impact reporting.

‘We’re building roads, not just vehicles…’

“Better informed businesses tend to produce better products,” Ballone notes. “One of the biggest reasons innovative materials fail is that stakeholders don't have all the information upfront. By providing visibility into costs, impact metrics, certifications, and sourcing requirements early in the process, we increase the likelihood that those materials make it to market.”

As World Collective develops, so too will its features, with new technologies, such as mood boards and metric comparisons, currently being developed to make sourcing through the platform even more intuitive. Future initiatives will also look to support artisan-led and women-led programmes around the world, giving them access to brands through digital storefronts.

All of this contributes to the company’s vision of a future fashion supply chain defined by more visibility and greater business control. Brands, meanwhile, would be able to bring their existing supply chains into the platform, and use it as a sourcing and decision-making hub. “The goal is simple: give people better information so they can make better decisions. When sourcing, compliance, pricing, and impact reporting all exist in one place, decision-making becomes much easier,” Ballone says.

In the end, it is all about infrastructure for World Collective. “We’re building roads, not just vehicles,” Ballone concludes. “We don’t need to be the middleman. We simply want to provide the infrastructure that allows everyone to connect, communicate, and transact more effectively.”

US investment firm Elliott Advisors is believed to have emerged as a potential bidder for The Very Group as it reportedly mulls a deal that could value the UK retailer at two billion pounds.

This is according to Sky News, which had also reported in May that Chinese e-commerce giant JD.com was another interested party, eyeing the group as part of UK expansion plans.

The Very Group and Carlyle declined the media outlet’s request to comment.

The interest comes after private equity firm Carlyle took over The Very Group last year, ending the retailer’s long-standing relationship with the Barclay family.

Reports in January suggested Carlyle was preparing an auction process that valued the platform between two billion and 2.5 billion pounds.

Next to owning the Very and Littlewoods brands, the group also operates a financial services division, offering revolving credit facility options like buy now, pay later to shoppers.

For the 2025 financial year, The Very Group reported an 8.4 percent uptick to its EBITDA, driven largely by the home goods category, which expanded by 9.9 percent. Fashion and sportswear, meanwhile, declined by 3.7 percent, impacted by aggressive market-wide discounting.

In February 2026, Carlyle secured a long-term funding deal to extend and renew debt facilities, injecting 150 million pounds in financial support to position the retail group for its next stage of growth.

The US lifestyle brand Vera Bradley has announced its financial results for the first quarter of the fiscal year ending January 30, 2027. The company recorded its first quarter of overall revenue growth since the fourth quarter of fiscal year ended January 29, 2022, signaling a pivot in its ongoing operational turnaround.

Consolidated net revenues from continuing operations rose to 55.70 million dollars for the period, representing a revenue increase of 7.8 percent.

“I’m pleased to report that our first quarter results demonstrate continued momentum in our Project Sunshine transformation to reclaim Vera Bradley’s joyful optimism while building operational excellence,” said Vera Bradley chief executive officer Ian Bickley. “We achieved our first quarter of overall revenue growth since Q4 FY22, marking an important inflection point in our turnaround.”

Strategic initiatives drive customer acquisition and store changes

The revenue growth was supported by structural changes within the direct and indirect sales channels of the group. Direct segment revenues increased 4.1 percent to 44.90 million dollars.

Like-for-like sales grew 13.4 percent during the quarter. This performance was driven by stronger e-commerce conversion rates, higher average ticket values, and increased foot traffic across full-line and outlet locations. During the first quarter, the company closed three underperforming full-line stores to optimize its brick and mortar network.

Indirect segment revenues increased 26.6 percent to 10.80 million dollars, driven by improvements in department stores and specialty retail, while cut-to-order sales supported expansion across major accounts.

Product adjustments also influenced the performance, as the brand successfully modified nearly 80 percent of its spring collection. Brand collaborations with Target and Bath & Body Works drove customer acquisition, with approximately 80 percent of the consumers engaging through these partnerships being new to the label.

Profitability metrics improve

Consolidated gross profit grew to 28.80 million dollars, representing 51.8 percent of net revenues. On a non-GAAP basis, gross margin expanded by 430 percentage points.

Operating loss from continuing operations was reduced by 74 percent to 4.60 million dollars, while on a non-GAAP basis, the operating loss stood at 3.30 million dollars, marking a 76.1 percent improvement.

Outlooking stable fiscal year 2027 performance

For the full fiscal year 2027, Vera Bradley updated its forward-looking guidance based on the start to the year. The company expects full-year sales to land in the range of 255 million dollars to 270 million dollars.

The projected sales range accounts for the corporate decision to cancel the annual outlet sale event, a rebuilding of the wholesale business under revised leadership, and a strategic reduction in liquidation channel volume. Driven by operational efficiency, the company now projects its non-GAAP operating loss to improve by at least 50 percent compared to the prior year loss of 21.70 million dollars, outperforming previous guidance of 40 percent improvement.

Polish fashion retailer LPP Group has reported a 10.5 percent year-over-year (YoY) increase in revenue for the first quarter of 2026, reaching 5.5 billion Polish zloty (1.50 billion dollars). The growth was primarily driven by the ongoing expansion of the brick and mortar retail chain, particularly the Sinsay brand, alongside an increase in total commercial floorspace.

However, the rate of sales growth fell below initial company expectations due to unseasonably low temperatures at the start of the spring/summer 2026 season. February and April recorded temperatures below long-term averages, restricting consumer demand for early summer collections. Consequently, LPP recorded a 2.8 percent decline in like-for-like (LFL) sales for the period.

Brand performance and omnichannel development

Performance varied significantly across the corporate brand portfolio. Positive LFL growth was driven by 14.6 percent increase at House, 3.1 percent at Reserved and 0.7 percent at Cropp.

Conversely, negative LFL ratios were registered by Sinsay at minus 6.8 percent and Mohito at minus 15.5 percent.

Despite the LFL drop, Sinsay remained the largest revenue contributor, generating 3.13 billion Polish zloty, which represents a 13.9 percent YoY increase. Traditional brick and mortar sales for the group rose by 15 percent YoY, supported by 121 new store openings, 102 of which belonged to Sinsay.

Online sales grew by a modest 0.7 percent YoY to 1.46 billion Polish zloty. The e-commerce channel remained impacted by prolonged order fulfillment times in South-Eastern Europe, stemming from a warehouse fire in Romania in June 2025. Additionally, a strategic reduction in performance marketing spend to prioritise online profitability compressed e-commerce to a 26.6 percent share of group revenue, down from 29.2 percent in the prior year.

Geographically, international sales outpaced domestic growth, increasing 13.9 percent YoY to account for 56.8 percent of total omnichannel revenues, with Romania, Ukraine, the Czech Republic, and Hungary emerging as top-performing markets.

Record gross margin and rising operating profits

LPP achieved a record gross profit margin for a first quarter, rising by 4.5 percentage points YoY to 58.5 percent. This profitability milestone was reached despite an increasing volume of lower-margin Sinsay products.

Driven by strong margin performance, operating profit (EBIT) grew by 47 percent to 688 million Polish zloty, resulting in an EBIT margin of 12.6 percent. Total net profit for the quarter closed at 475 million Polish zloty, up from 335 million Polish zloty in the prior year period.

Technical investments and future targets

During the first quarter, LPP accelerated its logistics automation strategy by expanding its autonomous robot fleet more than sixfold to over 3,500 units across Poland and Romania. The group also initiated the construction of a new e-commerce fulfillment centre in Tczew, scheduled to open in the first quarter of 2027.

For the full 2026 financial year, LPP targets total sales of approximately 26 billion to 27 billion Polish zloty, backed by a planned 15 percent increase in retail floorspace that includes around 750 new Sinsay stores. The group projects a full-year gross margin of roughly 56 percent and capital expenditure of 2.5 billion Polish zloty.

Looking further ahead to 2027, the company forecasts revenues to reach between 30 billion and 31 billion Polish zloty. In addition, during the years 2028–2029, the company aims to open around 750 new Sinsay stores in 2028, and around 300-350 per year from 2029 onwards and anticipates positive LFL growth, and 15–20 percent growth in online sales.

The US omnichannel footwear retailer Shoe Carnival has received shareholder approval to change its corporate name to Shoe Station Group. The name change takes effect on June 12, 2026, marking a transition in the group's long-term commercial strategy.

In connection with the name change, the common stock of the company is expected to begin trading on the Nasdaq Stock Market under the ticker symbol SHOE on June 12, 2026. Shares traded under the previous symbol SCVL until the close of the market on June 11, 2026.

Multi-banner strategy drives long-term expansion

The structural update aligns with a broader plan to focus on diversified retail formats.

“The new name and new ticker are reflective of our multi-banner strategy with Shoe Station as our primary long-term growth vehicle and Shoe Carnival continuing in markets where it is dominant. We will also seek to expand our business through strategic acquisitions of other footwear retailers,” said Cliff Sifford, interim president and chief executive officer of Shoe Station Group.

In addition to the rebranding protocol, the board of directors approved the payment of a quarterly cash dividend of 0.17 dollars per share. The dividend will be paid on July 20, 2026, to shareholders of record as of the close of business on July 6, 2026.

The distribution represents the 57th consecutive quarterly dividend issued by the retail group.

Chinese e-commerce giants Pinduoduo and JD.com were among five major platforms summoned on Thursday for talks over misleading advertising, Beijing's market watchdog said.

Social media sites Douyin and RedNote, along with Alibaba-owned e-commerce platform Taobao, were also summoned.

The talks with company representatives, held by the Beijing Municipal Administration for Market Regulation, come as local and national authorities crack down on excessive "involution-style" competition.

Official efforts to tame "involution" -- a popular tag used to describe the race to outcompete that ends up nowhere -- has hit major Chinese firms across online shopping, food delivery and electric vehicles.

The Beijing watchdog said it had identified issues including false advertising for promotional events, irregular rules and failing to disclose merchant information, according to a statement.

It proposed "rectification requirements" aimed at preventing and mitigating risks during the so-called "6.18" online shopping festival this month.

Some of the platforms had launched "10 billion (yuan) subsidy" campaigns for the shopping event but did not detail actual subsidy amounts or the length of the promotion, the statement said.

AFP has reached out to the firms for comment.

Executives from leading UK retailers have called on the government to address policies believed to be making it harder to hire young people. Over 80 business leaders have signed a letter co-ordinated by the British Retail Consortium (BRC) warning that taxes and red tape are pushing up the cost of entry-level jobs.

Chief executive officers from All Saints, Ann Summers, Dune Group, JD Sports, Dr Martens, Marks & Spencer, Matalan Retail, Monsoon Accessorize, Reiss, TFG Brands, Seasalt, The Very Group, and Mamas & Papas are among those to have signed.

Karen O’Rourke, managing director of H&M UKIE and another signatory, said: “Too many young people are still being locked out of opportunities, and at H&M we see firsthand how important it is to create clear, inclusive pathways into work.

"Retail has a unique role to play in opening those doors, which is why we fully support the BRC’s call for stronger partnership with government to remove barriers and expand access to meaningful jobs. By working together, we can help more young people build the skills and confidence needed for long-term, sustainable careers.”

Concerns over youth unemployment rates were emphasised in an interim report by Alan Milburn, which suggested that 1.25 million under-25s could become unemployed in the next five years. Rising business costs, including an increase in National Living Wage, and changes to employment rights are also said to be impacting hiring methods.

The retail sector, which has historically remained entry-level, has particularly been hit hard by sweeping cuts. According to the BRC, around 400,000 jobs have been lost over the past decade, reducing entry-level opportunities for young people.

In response, business leaders are calling on the government to strengthen support by establishing a joint government-retail taskforce to enhance employment routes. The letter also requests for a reduction in employment costs and the implementation of reforms that support entry-level recruitment.

Helen Dickinson, chief executive of the BRC, added: “Retail and its supply chain account for almost a quarter of all youth employment, making our industry uniquely placed to support young people through flexible, entry-level roles and clear routes for progression. But this first step on the ladder is cracking under the weight of government-imposed costs and regulations.”

Dickinson continued: “Youth unemployment is a challenge that government and business must tackle together. If government wants more young people in work, it must create the conditions that allow businesses to hire, train and develop the next generation.

“Retailers stand ready to work in partnership with government through a joint retail-government taskforce to strengthen routes into employment, remove barriers to hiring and help more young people take that crucial first step into the world of work.”

The association Paris Good Fashion asked participants in its citizen consultation the question: “How can we make dressing sustainably and ethically desirable?”. Over 168,000 participants took part in the exercise.

The main finding was that respondents' primary expectation is for more information, transparency and education, as they find the current offering complex to understand.

Second citizen consultation led by Paris Good Fashion

From February 19 to April 16, 2026, the Paris Good Fashion association conducted a second citizen consultation, following the one in 2020. This was in partnership with Make.org, the city of Paris and with the support of several companies (Etam, Groupe Eram, Kiabi, Lacoste, Printemps, Galeries Lafayette, Le Bon Marché, SMCP, Karla Otto).

The question posed to participants was: “How can we make dressing sustainably and ethically desirable?”. The consultation involved nearly 170,000 participants in several countries: around 107,000 in France, 32,000 in Italy, 17,700 in the US and 11,499 in the UK.

481,156 votes were recorded, resulting in 1,680 proposals submitted, 1,449 validated after moderation and 915 receiving over 70 percent approval.

The first finding was that women were the majority of participants, accounting for 82 percent, compared to 17 percent men and one percent non-binary individuals.

The second finding was that those over 55 represented 52 percent of respondents. The 35-54 age group accounted for 32 percent of the sample, versus 16 percent for 18-34 year olds.

Information, transparency and education: need to simplify the message becomes more urgent

Information, transparency and education was the theme with the most proposals, at 31 percent in 2026 compared to 15 percent in 2020. Citizens stated they do not understand sustainable fashion and requested simple, reliable and comparable information.

“The first thing that stands out is that the people consulted do not understand sustainable fashion,” commented Isabelle Lefort, co-founder and executive director of Paris Good Fashion. “They do not know how to buy sustainable fashion and there is a general sense of suspicion about the information provided.”

Additionally, 43 percent of proposals related to information on fashion's impact. A further 28 percent called for greater product transparency. “People want education, information, explanations, guidance and training,” added Lefort.

Circular economy: repair and second-hand remain priorities

The circular economy was the second most cited theme, with 219 proposals making up 23.9 percent of the total. Its significance is considered broadly stable compared to the 2020 consultation, at 23.9 percent in 2026 versus 25 percent in 2020.

The primary topics mentioned were repair, second-hand fashion and clothing rental, with the latter identified as a point of controversy.

Pace of fashion: consumers call for a slowdown

This was the third most mentioned theme, with 13.9 percent of proposals. The subject is not limited to ultra-fast fashion. Participants condemned the volume of products, the proliferation of collections, marketing pressure and the feeling that “fashion is moving too fast”.

According to the organisers, respondents from the US and the UK support this idea of a slowdown even more than those from France or Italy.

In parallel, an emerging trend was that participants are calling for more clothing adapted to diverse body shapes. This theme was absent from the 2020 consultation.

They specifically mentioned issues with accessing clothing due to the available sizes and cuts. “Customers want to find clothes they like, but when they get to the store, they cannot find anything to wear,” noted Lefort.

Health: clothing quality becomes a central criterion

The organisers had expected the issues of price and ultra-fast fashion to feature prominently. This was not the case.

The citizen consultation revealed a strong demand for sustainable clothing, natural materials and products deemed to be of higher quality and more desirable. “There is a desire for creative, quality products that last. People are willing to pay a fair price, provided they are sure of what they are buying.” This directly contradicts the idea that price is the respondents' main concern.

In this regard, health is an emerging concern, particularly in relation to textile composition and regulatory compliance.

A total of 38 consensus-based proposals directly mentioned skin allergies; PFAS (per- and polyfluoroalkyl substances); endocrine disruptors; and carcinogenic risks associated with clothing.

According to PGF and make.org, this subject was completely absent from the previous consultation five years ago.

Relocalisation: respondents expect increased support from public authorities

Relocalisation accounted for 12.5 percent of proposals. Manufacturing in France is associated with quality, compliance with standards and local employment. “Producing in France is synonymous with quality and respect for employment regulations.”

In general, 255 proposals called for greater intervention from public authorities to regulate, supervise, arbitrate and support the ecological transition.

To present the full results of this citizen consultation, Paris Good Fashion has scheduled its next key event, the Midsummer Camp, for July 8 and 9, 2026, at the Domaine de Chaalis.

VF Corporation has announced the inauguration of a new addition to its EMEA headquarters in Stabio, Switzerland. The 2,500 square metre space includes offices, flexible coworking areas, a multifunctional auditorium and spaces dedicated to wellbeing and sport.

The site is “designed to bring people together and support how we work, connect, and grow”, VF said in a post on LinkedIn. It expands on an existing campus that already houses over 1,000 associates from over 40 nationalities, the company added.

The news comes amid an ongoing turnaround strategy at the apparel conglomerate, which returned to revenue growth for the first time in three years for FY26. The period was characterised by portfolio optimisation, most notably the sale of Dickies and Supreme, and an alignment of the Outdoor and Active categories.

Total revenues rose 4 percent to 9.3 billion dollars, while its adjusted gross margin reached 55.2 percent. Its operating income came to 650 million dollars, with an adjusted operating margin of 7 percent, reflecting a 110 basis point increase.

VF’s CEO, Bracken Darrell, said brands like Vans, which had been at the centre of dedicated turnaround efforts, were particularly showing momentum, with the footwear label now on track to achieve its medium-term targets, including an exit run rate of a 10 percent operating margin.

What was the return on the last pop-up? Which deals were finalised in the meeting with a supplier three months ago? What observations did the sales team relay from their latest conversation with a key client? In most companies, answering such questions still requires a fragmented search. Information is typically scattered across documents, emails, management tools and conversations between departments.

This everyday problem was precisely what led Diego Arroyo, chief executive officer of the Barcelona-based firm Laagam, to develop an infrastructure capable of turning corporate knowledge into a real-time accessible resource. The system centralises information from across the entire organisation. It allows users to query the history of decisions and operations using natural language. It also links data from different areas and executes actions immediately, from generating reports to drafting contextualised commercial communications.

Now, the company has decided to release this technology as open source. This move transcends the fashion industry, a sector historically driven by creativity and product. Increasingly, competitive advantage no longer depends solely on having information, but on the ability to transform it into actionable knowledge.

95 tools, 3,000 documents, zero engineers

According to the executive's own LinkedIn account, the company has been operating for months on what he describes as an “AI operating system”. This architecture connects 95 digital tools, processes more than 3,000 internal documents and executes operational tasks automatically by department. The main engine is Claude, Anthropic's artificial intelligence model. The team has fed it with years of their own corporate memory, all without a single engineer on staff.

Cases like this are currently proliferating at a speed that would have seemed exaggerated just a year ago. Since large language models became accessible without needing to write code, a team without a highly technical background can connect its internal data to an AI model and achieve real operational results. This is possible simply by having a clear idea of the problem to be solved. What once required a technology department now primarily requires judgement.

Fashion companies that have accumulated data for years—including emails; meeting transcripts; sales histories; and supplier communications—are beginning to understand that this disorganised archive is actually their most valuable asset. The key is not the AI model, which anyone can use, but the proprietary context that feeds it. That context is non-transferable and very difficult to replicate.

631 euros per month

However, Arroyo himself is honest about the real scope of the impact. The system has not directly boosted sales. Its value lies in freeing up decision-making time for the management team by absorbing the routine operational workload. It does this for 631 euros per month, the cost of maintaining the AI infrastructure.

Laagam has published the complete system openly under the name Compai. It includes the 53-chapter manual, templates by department and the technical architecture, so that other SMEs can replicate it.

US apparel group Oxford Industries, Inc. has announced its financial results for the first quarter of fiscal year 2026 ended May 2, 2026, revealing consolidated net sales in line with company expectations but a decline in profitability due to macroeconomic pressures and incremental tariff costs.

Consolidated net sales in the first quarter of fiscal 2026 decreased slightly to 391 million dollars compared to 393 million dollars in the first quarter of fiscal 2025. Earnings per share (EPS) on a GAAP basis was 1 dollars compared to 1.70 dollars in the first quarter of fiscal 2025. On an adjusted basis, EPS was 1.39 dollars compared to 1.82 dollars in the prior year period. Both GAAP and adjusted EPS in the first quarter of fiscal 2026 included 11 million dollars, or 0.55 dollars per share, of incremental tariff costs compared to the first quarter of fiscal 2025.

Tom Chubb, chairman and chief executive officer of Oxford Industries, commented: “We delivered net sales in line with our expectations, led by mid-single-digit positive comps at Tommy Bahama, and adjusted EPS above our guidance range, fueled by better-than-expected gross margins. Our overall performance also reflects softer than expected results at Lilly Pulitzer and a challenging environment marked by weak consumer sentiment and higher energy prices.”

Segmental sales performance breakdown

Full-price direct-to-consumer (D2C) sales decreased 1 percent to 247 million dollars versus the first quarter of fiscal 2025. Within this channel, full-price retail sales reached 135 million dollars, which was comparable to the prior year period. E-commerce sales fell by 2 percent to 111 million dollars compared to the first quarter of fiscal 2025.

Outlet sales of 19 million dollars were comparable to the prior year period, while wholesale sales decreased by 5 percent to 88 million dollars compared to the first quarter of fiscal 2025.

Gross margin for the first quarter contracted to 62.3 percent compared to 64.2 percent in the first quarter of fiscal 2025. Operating income on a GAAP basis was 22 million dollars, or 5.7 percent of net sales, compared to 36 million dollars, or 9.2 percent of net sales, in the first quarter of fiscal 2025. On an adjusted basis, operating income was 30 million dollars, or 7.7 percent of net sales, compared to 39 million dollars, or 9.8 percent of net sales, in the prior year period.

Retailer narrows full year sales guidance

The board of directors declared a quarterly cash dividend of 0.70 dollars per share, payable on July 31, 2026 to shareholders of record as of the close of business on July 17, 2026. Oxford Industries has paid dividends every quarter since it became publicly owned in 1960.

For the second quarter of fiscal 2026, the company expects net sales to be between 380 million dollars and 400 million dollars compared to net sales of 403 million dollars in the second quarter of fiscal 2025. GAAP EPS is expected to be between 1.13 dollars and 1.33 dollars, while adjusted EPS is forecast in a range of 1.20 dollars to 1.40 dollars.

For the full fiscal year 2026, Oxford Industries is narrowing its full year sales outlook by lowering the high end of the previous range, while tightening its adjusted EPS guidance by raising the low end. The company now expects full year net sales in a range of 1.48 billion dollars to 1.51 billion dollars, compared to net sales of 1.48 billion dollars in fiscal 2025. Full year GAAP earnings per share are expected to be between 1.70 dollars and 2.10 dollars, while adjusted EPS is anticipated to be between 2.30 dollars and 2.70 dollars.

The US womenswear retailer J.Jill, Inc. has announced its financial results for the first quarter of fiscal year 2026 ended May 2, 2026, revealing a decline in both net sales and profitability in line with company expectations.

Net sales for the first quarter of fiscal 2026 decreased 6 percent to 144.40 million dollars compared to the first quarter of fiscal 2025. Total company comparable sales, which includes comparable store and direct-to-consumer (D2C) sales, decreased by 8.7 percent for the period. Net sales for the D2C channel, which represented 45.6 percent of total revenue, fell 8.3 percent compared to the first quarter of fiscal 2025.

Mary Ellen Coyne, president and chief executive officer of J.Jill, stated: “We delivered first quarter results in line with our expectations and are encouraged by early indicators that our strategy is gaining traction. We are balancing speed with careful deliberation as we evolve – making the best decisions for our business and our customers. I am confident in our ability to drive gradual, sequential improvement and position J.Jill for sustainable growth.”

Income and profitability metrics decline

Gross profit for the first quarter was 98.70 million dollars compared to 110.40 million dollars in the first quarter of fiscal 2025. Gross margin contracted to 68.3 percent compared to 71.8 percent in the prior year period.

Net income for the period decreased to 4.70 million dollars, down from 11.70 million dollars in the first quarter of fiscal 2025. Net income per diluted share was 0.31 dollars, compared to 0.76 dollars in the first quarter of the prior year. Adjusted EBITDA for the quarter was 16.70 million dollars compared to 27.30 million dollars last year, yielding an adjusted EBITDA margin of 11.6 percent.

Retail footprint and financial outlook

During the first quarter of fiscal 2026, J.Jill opened one store and closed two stores, bringing its total store count to 255 locations. The retailer also repurchased 68,500 shares of common stock for approximately 0.80 million dollars. On June 3, 2026, the board declared a cash dividend of 0.09 dollars per share, payable on July 8, 2026.

For the second quarter of fiscal 2026, J.Jill expects net sales to decline 1 percent to 3 percent year-over-year (YoY), with comparable sales projected to decrease 2 percent to 4 percent. Gross margin is anticipated to contract by approximately 100 basis points, incorporating a 4.00 million dollar net cost impact from tariffs. Adjusted EBITDA is forecast between 18 million dollars and 20 million dollars.

For the full year of fiscal 2026, Coyne reaffirmed the company financial outlook for net sales, which are expected to be flat to down 2 percent YoY. Comparable sales are projected to decline 1 percent to 3 percent for the full year. Full-year gross margin is still expected to contract by approximately 50 basis points, factoring in 14.50 million dollars of tariff impacts, while adjusted EBITDA is projected to land between 70 million dollars and 75 million dollars.

US online personal styling service Stitch Fix has reported its financial results for the third quarter of fiscal 2026 ended May 2, 2026, delivering its fifth consecutive quarter of year-over-year revenue growth on an adjusted basis. Both net revenue and adjusted EBITDA exceeded company expectations.

Net revenue for the third quarter increased by 4.7 percent year-over-year to 340.30 million dollars. The company also recorded a sequential increase in active clients, which rose by 0.9 percent quarter-over-quarter to 2.31 million, although this represented a decrease of 1.9 percent compared to the same period last year. Net revenue per active client increased by 6.6 percent year-over-year to 578 dollars.

Stitch Fix chief executive officer Matt Baer said: “In Q3, we delivered another strong quarter, reporting our fifth consecutive quarter of year-over-year revenue growth on an adjusted basis, with both revenue and adjusted EBITDA exceeding our expectations. We also hit a significant milestone with sequential growth in active clients. These results reflect our team’s consistent execution of our strategy and underscore that the improvements we’ve made to our client experience and assortment are resonating.”

Third quarter financial breakdown

Gross margin for the period was 43.7 percent, representing a decrease of 50 basis points year-over-year. The group reported a net loss of 1.50 million dollars, resulting in a net loss margin of 0.4 percent and a diluted loss per share of 0.01 dollars. Adjusted EBITDA reached 13.20 million dollars, equivalent to an adjusted EBITDA margin of 3.9 percent.

During the first quarter of fiscal 2024, the company ceased operations of its UK business, which met the accounting requirements for discontinued operations. Accordingly, all financial results presented relate strictly to continuing operations.

Updated fiscal year outlook

For the fourth quarter of fiscal 2026 ending August 1, 2026, Stitch Fix projects net revenue to be between 322 million dollars and 327 million dollars, representing year-over-year (YoY) growth of 3.5 percent to 5.1 percent. Adjusted EBITDA is expected to land between seven million dollars and 10 million dollars, representing a margin of 2.2 percent to 3.1 percent.

For the full fiscal year 2026, the company has updated its financial outlook. Full-year net revenue is forecast to be between 1.35 billion dollars and 1.35 billion dollars, representing a YoY growth of 6.2 percent to 6.6 percent. Full-year adjusted EBITDA is expected to be between 49 million dollars and 52 million dollars, with a margin of 3.7 percent to 3.9 percent.

Management expects the full fiscal year 2026 gross margin to be between 43 percent and 44 percent. Advertising expense as a percentage of revenue is anticipated to be between 9% and 10% for the full year, and the company expects to remain free cash flow positive.

London - British apparel company Frasers Group (Frasers) announced on Wednesday its intention to acquire the remaining capital of German premium clothing group Hugo Boss for almost two billion euros (2.31 billion. Frasers already holds more than a quarter of the company.

As Hugo Boss is listed in Frankfurt, Frasers intends to “launch a voluntary public takeover bid in accordance with German law” for these shares. These represent “approximately 73.94 percent of the share capital,” the British group stated in a press release issued after the markets closed.

“Hugo Boss is a key brand partner for Frasers and one of the top five brands within the group,” added the British company. It plans to offer 38 euros per share, totalling approximately 1.98 billion euros, for the capital it does not yet own.

Shares in the Hugo Boss group, whose net profit increased by 17 percent to 249 million euros in 2025, closed at 36.46 euros on Wednesday in Frankfurt.

Positioning itself as a “long-term investor” in the German company, Frasers stated it is “supportive” of chairman of the supervisory board Stephan Sturm and chief executive officer Daniel Grieder. The group praised their “strategy of sustainable growth and strengthening brand value”.

Frasers expects the transaction to be “finalised in the second half of 2026”.

The British group, which owns the Sports Direct chain, saw its net profit fall by 23 percent to 292.1 million pounds in its fiscal year ending late April 2025. These are the latest annual figures available.

Madrid – Galician fashion multinational Bimba y Lola has today reported on the profitability data recorded by the company at the close of its last fiscal year, 2025. These metrics provide a clearer and more complete picture of its actual performance over the past year. They supplement the initial estimated sales figures released by its management in early March of this year, 2026.

Based on information provided by the Spanish company's management, Bimba y Lola closed its last full financial year 2025 on February 28, 2026, recording total sales of 250 million euros. This amount represents a growth of +6.83 percent compared to the 234 million euros invoiced by the company during its previous full financial year of 2024. This rate reflects an acceleration in turnover levels compared to the +3 percent growth recorded in 2024 against the previous year's sales.

In terms of profitability, Bimba y Lola reports an earnings before interest, taxes, depreciation and amortisation (EBITDA) of 32 million euros in 2025. These are indicators that the company's management was reluctant to make public for the 2022, 2023 and 2024 financial years. This figure represents a growth of nearly 13 million euros, or +68.42 percent, compared to the 19 million euros recorded at the close of the previous fiscal year. This has resulted in an EBITDA margin of 13 percent on sales.

Completing this performance in terms of profitability, the company reports a net profit that reached eight million euros at the end of the year. This amount is up +433 percent from the nearly 1.5 million euros the company recorded as net profit at the close of 2024, after adding 6.5 million euros compared to the previous year's result. With this, Bimba y Lola recovers some of the ground lost due to expansion and consolidation initiatives carried out in recent years. It also moves closer to the 18.2 million euros in net profit it achieved in 2019. This was the last financial year to be completed without the effects of the coronavirus pandemic. The company completed that year with sales of 226.8 million euros and an EBITDA of 35.8 million euros.

“Our year 2025 has been really positive in many ways,” highlighted Jose Manuel Martínez, chief executive officer of Bimba y Lola, in a statement released by the management of the Spanish fashion multinational. “The positive evolution of our comparable sales in all markets makes us feel a growing affection for the brand and encourages us to continue improving. We also greatly value the continuous strengthening of our teams and our resources to be able to continue building Bimba y Lola as a Spanish brand with a global reach.” A goal towards which, he adds, “now that we have completed our first 20 years, we remain enthusiastic about this adventure.”

Spain as a growth driver

Delving into the other indicators presented by Bimba y Lola regarding its performance during 2025, by channel, 78 percent of sales, amounting to some 195 million euros (+5.48 percent), were generated from the physical points-of-sale that the store has across 34 markets worldwide. These points-of-sale, both owned and franchised, totalled a network of 321 stores in 2025, after the addition of 11 net openings to the 310 points-of-sale the firm had at the close of the 2024 financial year.

Completing these records, the digital channel closed 2025 representing 22 percent of Bimba y Lola's global turnover, for some 55 million euros (+11.92 percent). This level of revenue shows the online channel continues to gain greater prominence within the company's balance sheets, increasing from 21 to 22 percent of its global sales. This is despite experiencing a slight reduction in its growth rate compared to the +15 percent recorded in 2024 versus 2023.

Finally, by market, nearly 58 percent of Bimba y Lola's 2025 sales were generated in Spain, for a value of around 145 million euros (+10.65 percent), compared to the 56 percent they represented of 2024 sales. This revenue stream is completed by an international business that is shrinking in weight within the company's balance sheets, dropping from 44 to 42 percent of the company's global revenue, for some 105 million euros (+1.98 percent). Bimba y Lola's management has nevertheless been keen to clarify that the company's sales experienced “good development” in all the markets in which it operates, in comparable terms.

As for why EBITDA has increased by almost 13 million euros while net profit has increased by 6.5 million, this “more moderate improvement than that of EBITDA” was “mainly due to the major investment effort made by the group between 2018 and 2024”. The company justifies this by stating that “the investments made in international expansion; the modernisation of the store network; the automation of logistics; the provision of systems; and the construction of a new headquarters are key elements for the brand's medium and long-term strategy.” However, they “entail a higher level of amortisation and a higher short-term financing cost.”

British sportswear giant Sports Direct has partnered with delivery platform Zapp to offer FIFA World Cup 2026 merchandise to customers across London, with the goal of making products available within 20 minutes.

The collaboration will run throughout the tournament and gives football fans access to official merchandise, including shirts and match-day essentials, alongside groceries and drinks through a single order.

The move comes as retailers look to capitalise on major sporting events through faster and more flexible fulfilment options. According to Zapp, 78 percent of football-related orders are placed within 90 minutes of kick-off, often outside traditional retail trading hours.

A Sports Direct spokesperson said: “The FIFA World Cup is one of the biggest moments in the global sporting calendar. Through our partnership with Zapp, we're extending access to our FIFA World Cup 2026 range across London, combining Sports Direct's industry-leading football offering with Zapp's on-demand delivery capabilities.”

Zapp said that interest in football-related products has already accelerated ahead of the tournament, with the company's commercial director Rowan Lawson adding that searches linked to football on the platform have increased by more than 300 percent since teams arrived in the US.

The announcement follows the launch of Sports Direct's World Cup campaign, “When Football Was Football”, which focuses on the nostalgia and cultural significance of the tournament.

British brand conglomerate easyGroup is entering the online retail sector with the launch of easyShop.com, a new marketplace platform developed in partnership with e-commerce company OnBuy.

Scheduled to launch in the fourth quarter of 2026, easyShop will initially operate across 21 European countries and aims to bring retailers together on a single cross-border marketplace.

The platform will be powered by OnBuy's proprietary marketplace technology and operate as a pure marketplace model, meaning it will not hold inventory or compete directly with sellers.

Its mission is to allow retailers to access customers across multiple countries without managing separate local marketplaces, while consumers will be offered a value-focused shopping experience under the easy brand.

In a statement, Stelios Haji-Ioannou, founder and owner of the easy family of brands, said: “The easy family of brands has expanded into many new sectors by focusing on simplicity and value for money. I believe an online retail marketplace using a great domain like easyShop is a natural next step.”

Haji-Ioannou added that the company is already preparing to recruit sellers ahead of a consumer launch later this year.

Cas Paton, founder and chief executive of OnBuy, said the platform is designed to help retailers expand internationally more quickly by removing “many of the barriers that typically slow retail expansion”.

Keel Labs, the US startup behind the first fabrics made from seaweed, filed for Chapter 11 bankruptcy protection with the North Carolina court on June 5. The company has an estimated ten million dollars in assets and one million dollars in liabilities.

To produce Kelsun, biopolymers are extracted from seaweed and converted into threads through a chemical process. These threads are then spun into fibres. Keel Labs describes Kelsun as a “plug-and-play integration”. The material can be knitted and woven, and blended with other fibres such as cotton or hemp. In 2024, the innovation earned the company the ‘Innovation Project of the Year’ award at the Textile Exchange Climate & Nature Impact Awards.

Founders Tessa Callaghan and Aleksandra Gosiewski started in 2017 in a small laboratory in Brooklyn. Then operating under the name AlgiKnit, their mission was to introduce ocean-derived fibres into the polluting fashion sector. In 2022, a significant growth spurt followed thanks to a Series A investment of 13,000,000 dollars from investors including Collaborative Fund, H&M Co:Lab and Horizons Ventures.

Almost a decade later, the founders seemed to have proven that seaweed can be an excellent raw material for clothing. After the Covid-19 period, Kelsun's profile grew rapidly through collaborations with major names. For instance, Kelsun created a fine-knit tank top for Stella McCartney (2023); a cotton shirt from the Californian brand Outerknown (2025) contained one-third Kelsun; and finally, H&M and & Other Stories (2025) released a capsule collection featuring the material.

In 2024, in an interview with FashionUnited, the company expressed its satisfaction at having overcome the most difficult growth phases of a scale-up. Garments featuring Kelsun entered the market in batches of over 100 units at a competitive price point. The “next-gen”, sustainable material seemed ready for the mainstream fashion system.

While the current bankruptcy filing does not necessarily mean Keel Labs is ceasing operations, it does raise questions. What is needed to run a viable business in the alternative fibre segment? How can a small company produce scalable, high-quality, lower-impact fibres while simultaneously maintaining a healthy cash flow?

River Island has reportedly returned to profitability following a major restructuring programme, with the retailer posting a pre-tax profit of 11.6 million pounds for 2025.

The result marks a significant recovery for the British fashion chain, which recorded an operating loss of 65.3 million pounds in 2024 and only just avoided administration before launching a business-wide turnaround plan last year.

The restructuring included the closure of 33 stores, rent reductions across dozens more locations and changes to the leadership team, including the return of Ben Lewis as chief executive.

Speaking to The Mail on Sunday, Lewis said he was “very pleased and optimistic” about the results, adding that the company’s actions had been creating a “rapid impact” on performance.

Looking ahead, River Island plans to invest further in digital growth and open new stores across the UK and Ireland. The retailer has also recently expanded its wholesale reach through Marks & Spencer’s online marketplace and increased its focus on brand collaborations.

Despite the improved performance, Lewis warned that rising costs continue to weigh on retailers. “You either must manage these costs, or you must get the economy to grow,” he told the media outlet.

Online resale platform ThredUp has launched a new peer-to-peer selling feature, marking an expansion beyond its traditional managed resale model.

The new offering, dubbed Direct Listing, is being introduced in open beta and allows users to list individual items for sale directly through ThredUp’s marketplace. The move means sellers can now choose between the company's existing Clean Out service, where ThredUp handles the resale process, and a self-managed option for higher-value products.

Direct Listing enables sellers to set their own prices and access the platform's existing customer base, while the company uses AI tools to automate product descriptions, pricing suggestions and image editing. ThredUp will also manage returns on behalf of sellers.

The company said early testing showed strong demand for premium inventory. During the beta phase, nearly 18 percent of listed items were priced above 100 dollars, while the average selling price reached 60 dollars, more than double the average value of products sold through ThredUp's traditional marketplace.

ThredUp added that the addition of peer-to-peer selling is intended to broaden its appeal to consumers looking to resell individual high-value items while continuing to support large-scale wardrobe clear-outs through its existing services.

The launch reflects growing demand for more flexible resale models as consumers increasingly participate in secondhand fashion through a mix of managed and peer-to-peer channels.

Fast fashion giant Shein has opened a new e-commerce logistics centre in Dublin, Ireland, as it expands its regional fulfilment network in response to growing demand.

The new 16,000 square foot facility is located in Greenogue Business Park in Rathcoole, and will support 30 jobs across warehouse and office roles, RTE reported.

In a statement to the media outlet, Shein’s corporate communications director, Robin Kiely, said the company was proud to expand its operations in Ireland, a country which “plays an important role in our wider European growth strategy”.

Kiely added that “this investment strengthens our ability to provide improved, more efficient services for customers across the country”.

“The new facility also creates additional warehouse and office roles locally, while supporting our long-term commitment to investing in infrastructure, technology and operational capability across Ireland and Europe,” he continued.

The introduction of the Dublin site builds on broader efforts by Shein to grow its European logistics footprint.

The company opened a primary distribution centre in Wroclaw, Poland, last year, which was followed by a logit logistics warehouse in the UK Midlands that opened last month.

In Ireland, Shein is currently facing an inquiry by the Irish Data Protection Commission over concerns of personal data transfers between the EU/EEA and China.

The company has also been issued a 22 million euro fine from the French government over allegations related to product traceability, environmental claims, withdrawal periods and delivery times.

European fashion retailers lose over 12 billion euros (13.88 billion dollars) annually on clothing and a further 2.7 billion euros on jewellery and handbags. This is according to research by the European Union Intellectual Property Office (EUIPO), which enforces intellectual property.

The EUIPO states that consumers are willing to pay more for ‘designed’ products like fashion, furniture and electronics. This means there is added value in the design element, which makes design-intensive markets vulnerable to counterfeiting.

Social media makes it even easier for cheap knock-offs to reach the mainstream. In the EUIPO's research, over a tenth of respondents admitted to knowingly purchasing counterfeit goods. For Gen Z consumers under the age of 24, this figure rises to more than a quarter.

Around 28 million EU citizens work in design-intensive sectors, contributing 16 percent to the gross domestic product. The EUIPO therefore strongly advises companies to officially register their designs. Registering a simple product costs 350 euros. The rights are valid in all member states and can be renewed every five years, up to a maximum of 25 years.

Lifestyle Retail Group (LRG) is rebranding as Secret Sales Group to reflect the scale of its off-price retailer, Secret Sales, and an industry shift towards tech-led platforms.

The name change will only apply to the group’s corporate identity, with consumer-facing brands to retain their existing names and operations.

While Secret Sales itself has “become one of the most recognised names in European off-price retail”, Chris Griffin, CEO of Secret Sales Group, said momentum was being seen across the group’s wider portfolio and core markets.

Next to Secret Sales, the company also operates via a slew of international platforms acquired in recent years, including Germany’s Dress for Less; Spain’s Dreivip; and Sweden’s Afound. Such deals have allowed the group to globally expand, leveraging existing consumer bases while also applying its own infrastructure.

This growth has continued into 2026, during which the company has added 150 sellers, more than 500 brands and increased available inventory by over 100 percent.

“Those numbers demonstrate the growing demand from brands and retailers for a pan-European solution that allows them to efficiently monetise excess inventory while maintaining control of pricing, presentation and brand positioning,” Griffin said.

He continued: “The retail landscape is changing rapidly. Brands are increasingly moving away from traditional clearance models and towards technology-led solutions that give them greater control, greater flexibility and better outcomes.

“We believe that shift is only just beginning. Our ambition is simple: to become the first place brands think of when they need to efficiently distribute excess inventory across Europe. The combination of AI, automation, data and scale is helping us get there faster than ever."

StockX is venturing into a new field. The resale platform has announced the launch of a real-time live shopping experience, bringing it into the social commerce space.

Due to debut in summer, ‘StockX Live’ will allow buyers to participate in live auctions, giveaways, and live chats enabling direct seller-buyer engagement.

Its initial rollout will focus on building communities of buyers and sellers within categories like sneakers, apparel, collectibles and vintage fashion, with further categories to follow post-launch.

Sellers will be backed by dedicated marketing support and a Live team, while having the potential to reach the platform’s existing 30 million unique monthly visitors.

The feature will be available to all US iOS customers across mobile and web platforms.

For StockX, the launch marks an evolution into a “multi-experience marketplace built for the next generation of commerce”, a “natural extension” of the platform itself, the company’s CEO, Greg Schwartz, said.

“We’ve spent years building a scaled, trusted, and transparent marketplace and now we’re bringing all of that into a live experience. I couldn’t be more excited to get this product in front of our community later this summer,” Schwartz added.

Asics Corporation has announced plans to spin off its Onitsuka Tiger business. The company's Board of Directors has approved the transfer of the business to OT Group, a wholly owned subsidiary of Asics, through a simplified absorption-type company split. The restructuring is scheduled to take effect on January 1, 2027.

Under the new structure, Onitsuka Tiger will operate with greater independence, while the brand's activities within existing regional subsidiaries will also be reorganized globally under OT Group. Asics said the move reflects the brand's rapid international growth, expanding market presence and rising recognition as a luxury lifestyle label.

Asics to separate Onitsuka Tiger

The Japanese sportswear company noted that Onitsuka Tiger has successfully strengthened its position in the premium segment through the expansion of its directly operated retail network. By establishing an independent operating structure, ASICS aims to accelerate decision-making, enhance competitiveness tailored to the brand's luxury positioning, improve transparency of business performance within the broader group, and strengthen governance and management accountability.

The transaction qualifies as a simplified absorption-type company split under Japan's Companies Act and therefore does not require approval from Asics shareholders. As part of the restructuring, OT Group will issue 400 common shares, all of which will be allotted to Asics. The company added that there will be no change to its stated capital or stock acquisition rights as a result of the transaction.

Onitsuka Tiger to be reorganized globally under OT Group

OT Group, established on February 25, 2026, will serve as the global headquarters for the Onitsuka Tiger business. Although the subsidiary has yet to report financial results, it is expected to oversee operations spanning approximately 160 countries and regions. The business will be supported by regional sales hubs in Japan, China, Europe and Southeast Asia, a global network of around 190 directly operated stores, and a workforce of approximately 2,800 employees, including 550 office-based staff and 2,250 retail employees.

Asics said the reorganisation is intended to position Onitsuka Tiger for its next phase of growth as a global luxury lifestyle brand. As the transaction involves a wholly owned subsidiary, the company expects the impact on its consolidated financial results to be minimal.

The US apparel brand Lands' End has announced its financial results for the first quarter ended May 1, 2026. The period was characterized by operational adjustments, a major corporate transaction and varied performance across geographical segments.

Net revenue for the quarter reached 238.90 million dollars, representing an 8.5 percent decline compared to the 261.20 million dollars recorded in the first quarter of 2025. The company stated the drop was primarily caused by a temporary operational disruption tied to the rollout of a new warehouse management system and the deliberate pacing of shipments as US distribution centers returned to normal capacity. Excluding this impact, Lands' End estimates it would have delivered low single-digit revenue growth.

Gross profit decreased by 16 percent to 111.50 million dollars, down from 132.70 million dollars in the prior year. Gross margin contracted by approximately 410 basis points to 46.7 percent from 50.8 percent in the first quarter of 2025, driven by the distribution disruption, continued tariff pressures and a new royalty structure linked to its joint venture with brand management firm WHP Global.

Segment breakdown reveals international growth

The primary digital operations faced headwinds during the quarter. The US Digital segment generated net revenue of 205.10 million dollars, down 9.9 percent compared to the first quarter of the previous year. Within this division, US e-commerce net revenue declined 10.2 percent to 153.30 million dollars, also impacted by the warehouse transition.

The Outfitters division, which handles corporate uniform channels, recorded a 10.3 percent revenue decrease to 38.50 million dollars. Third-party net revenue dipped 5.7 percent to 13.30 million dollars, which management attributed to a strategic focus on higher-margin sales over promotion-driven volume.

Conversely, the European e-commerce division posted positive results. Net revenue for the region grew 14.5 percent to 20.50 million dollars. The company attributed this expansion to a strategic shift toward a franchise-first assortment model that simplified operations and improved inventory efficiency.

Joint venture drives net income surge

Reported net income reached 330.70 million dollars, or 10.56 dollars per diluted share, a substantial shift from the net loss of 8.30 million dollars, or 0.27 dollars loss per diluted share, in the first quarter of 2025. This net income growth was primarily driven by the closing of the WHP Global transaction.

On an adjusted basis, the company narrowed its losses. Adjusted net loss improved to 3.50 million dollars, or an adjusted diluted loss per share of 0.11 dollars, compared to an adjusted net loss of 5.40 million dollars, or 0.18 dollars loss per share, last year. Adjusted EBITDA fell by 165 percent to negative 6.20 million dollars from 9.50 million dollars.

Lands' End chief executive officer Andrew McLean stated that consumer traffic increased by double digits during the quarter and noted that the WHP Global partnership marks an inflection point that eliminates term-loan debt. The majority of the 300 million dollars in cash proceeds from the transaction was utilized to fully repay the company's outstanding term loan.

Outlook

The company initiated a share repurchase program authorized on April 1, 2026, buying back 0.30 million dollars of common stock during the quarter, leaving 99.70 million dollars available under the authorization until March 31, 2029.

Looking ahead to the full fiscal year 2026, Lands' End expects net revenue to be between 1.30 billion dollars and 1.40 billion dollars. Net income is projected between 310 million dollars and 320 million dollars, with adjusted net income expected in the range of 10 million dollars to 20 million dollars.

For second quarter fiscal 2026, the company expects net revenue to be between 290 million dollars and 310 million dollars, net loss to be between 5 million dollars and 2 million dollars and diluted loss per share to be between 0.16 dollars and 0.06 dollars, while adjusted net income to be between 2 million dollars and 5 million dollars and adjusted diluted earnings per share to be between 0.06 dollars and 0.16 dollars. The company forecasts adjusted EBITDA in the range of 11 million dollars to 14 million dollars.

Online giant Amazon will introduce next-generation AI warehouse robots that are designed to respond to conversational prompts in its European warehouses to improve its deliveries. The upgraded Proteus robot was unveiled by Amazon at an event in its Dartford ​fulfilment center east of London, and is part of a broader 10 billion euro investment in improving its European fulfilment network. 

The new Proteus robot builds on its predecessor and is designed to take on physically demanding tasks, such as moving heavy carts and covering large distances, so warehouse workers can spend more time on managing inventory flow and quality control, according to Amazon. The current Proteus robot, introduced in 2022 as Amazon's first fully autonomous robot and in use at 25 fulfilment centers across the United States, is used in docking areas to move carts weighing close to 400 kgs (882lbs). 

The upgraded version, which will be launched in Europe during the first half of 2027, can travel farther and be used across the entire warehouse, transporting containers from the arrival site to workstations. The next-gen Proteus, roughly the size of a 50-inch flat screen TV, also reacts to conversation cues, making it easier for workers to instruct it. "You tell it what needs to be done. It figures out the priority, the route, the timing," said Scott Dresser, vice president of Amazon Robotics, in a statement. "It becomes your assistant for material movement."

In addition to unveiling the next-gen Proteus, Amazon also presented Stark, a robotic tote-handling system that stemmed from an operations employee idea to improve process and support site safety. The collaborative system is designed to pick full totes from conveyors and place them on carts, reducing repetitive heavy lifting for warehouse workers. First piloted in Barcelona, Amazon plans on rolling it out to 15 European fulfilment centers by  2027. Amazon also showcased Vulcan, its first-ever robot with a sense of touch, designed to handle more complex picking tasks at Amazon's Hamburg facility in Germany.

"This transformation is designed to deliver a step-change in how we support our employees and serve our customers," said Armin Cossmann, vice president of operations for Europe. "Customer expectations aren't slowing down—and neither are we."

As part of its investments in Europe, Amazon is set to increase its European fulfillment center workforce by 25,000 over the next few years. The news comes as Amazon plans to open three new fulfillment centers in France, creating a total of 8,000 new permanent jobs. "Europe is at the center of how we're building our operations for the future," added Dresser. "The investment we're making here, the talent we're building with here, the technology we're deploying here—this is where the next chapter of operations innovation is being written."

The US footwear and accessories company Designer Brands Inc. (DBI) has announced its financial results for the first quarter ended May 2, 2026, revealing top-line growth alongside structural profitability improvements.

Net sales for the group increased by 1.4 percent to 696.40 million dollars compared to the same period last year. Total comparable sales decreased by 1.1 percent during the period. Profitability saw a notable increase, with gross profit rising to 315.30 million dollars from 294.50 million dollars in the first quarter of the prior year, pushing the gross margin up by 2.40 percentage points to 45.3 percent from 42.9 percent.

Reported net income attributable to DBI was 1.20 million dollars, resulting in diluted earnings per share (EPS) of 0.02 dollars. Adjusted net income reached 3.80 million dollars, or an adjusted diluted EPS of 0.07 dollars.

Brand portfolio segment drives performance

The US group attribute the positive start to the financial year to strong momentum within its wholesale and owned brands division, coupled with stabilizing trends in its core retail network.

According to chief executive officer Doug Howe, the structural shifts implemented across pricing discipline, channel profitability, sourcing, and inventory management directly fueled the gross margin expansion. Howe stated that double-digit sales growth in the Brand Portfolio segment helped offset the broader macroeconomic challenges affecting the retail environment.

Following the initial performance of the fiscal year, the leadership team expressed confidence in achieving the high end of its full-year EPS guidance range.

Chinese sportswear brand Li-Ning is continuing to push its global strategy plans with a new long-term partnership with basketball star Stephen Curry, who parted ways from his previous partner Under Armour last year.

In a statement, Li-Ning said the partnership with Curry is built on “long-term brand co-creation,” with a focus on multi-category performance product development and sports culture initiatives, as well as commitment to engage the next generation of athletes as it looks to “shape what's next for global sports brands”.

The deal will see NBA star Curry wearing Li-Ning basketball sneakers on court, with the Golden State Warriors player stating he was impressed by the Chinese company’s technological innovation and product performance capabilities.

Commenting on the partnership, Curry said in a statement: "The quality, comfort and performance of their shoes are what impressed me the most. That experience gave me real confidence in Li-Ning sneakers on the court and helped me see that Li-Ning could be the right partner to deliver the innovation and design I want Curry Brand to stand for."

The move will also see Li-Ning backing his Curry Brand, which originally launched in 2020 as a sub-brand under Under Armour. When he left the American company, he kept full ownership of all his logos, trademarks, and intellectual property.

NBA star Stephen Curry finds a new home at Chinese sportswear brand Li-Ning

Li-Ning adds that it plans to advance the global development of the Curry Brand, starting with basketball and golf, before extending into broader consumer lifestyle sport categories. The Chinese giant also said it has plans to open stores in China and the US, as it continues expanding its global footprint.

Curry added: "When I think about the future of Curry Brand, I think about building something that lasts, something that continues to push the game forward and creates real impact for athletes around the world.

"That's what makes this partnership with Li-Ning so exciting. Mr Li Ning built this company from the perspective of an athlete, with the same belief that sport can change lives and inspire the next generation. I felt that in the conversations we've had and in the product I've tested. The quality, performance and innovation are real, and it instils confidence in what we can create together across basketball, golf and lifestyle.

“For Curry Brand, this is about growing the right way, with a partner that understands the standard we're trying to set and the good we want to do."

World-renowned Olympic gymnastics champion Li Ning founded the sports brand in 1990, shaped around his experiences of sport and performance, offering footwear, apparel and hard-goods equipment for basketball, running, fitness, badminton, table tennis, and sports lifestyle, and in recent years expanding into outdoor, tennis, and pickleball.

It has grown into one of the top sportswear and athletic equipment companies in China, reportedly pulling in around 4.3 billion US dollars in annual revenue. While the majority of Li-Ning's revenue has come from inside China, the company is hoping that its landmark partnership with Curry will boost its global presence.

"Sport has the power to ignite passion and inspire each generation to push beyond its limits," said Li Ning, founder and chairman of Li-Ning Company. "Li-Ning and Curry share a deep understanding of sport and a common commitment to performance, innovation and the next generation of athletes. We look forward to building on this partnership to keep pushing boundaries and create new possibilities for global sport."

Madrid – The Valencian company Recover has announced its entry into the recycled cotton yarn market. This move advances its dual objective of establishing itself as the global benchmark for sustainable solutions in the fashion industry, while also promoting its evolution towards a more environmentally committed model. The offering is available to manufacturers and brands from today through its new family of recycled cotton yarns, “Recover Yarns”.

According to the Valencian company's management, Recover is launching “Recover Yarns” to accelerate the use of recycled cotton throughout the textile and fashion value chain. This new and first range of finished, ready-to-use recycled cotton yarns is being made available to brands and manufacturers of all sizes by the Spanish company, a leader in textile innovation and one of the world's largest producers of recycled cotton fibres. Externally, the launch advances the company's goal of driving the textile industry's transformation towards a more sustainable model. Internally, Recover completes its business model and diversification strategy. It is now an integrated platform offering sustainable, industrial-scale solutions for manufacturers and brands, ranging from recycled cotton fibres, to fabrics and finished garments, and now yarns.

“By transforming our fibre into ready-to-use yarns, we make it easier for brands and manufacturers to move from ambition to implementation of their sustainability strategies,” stated Anders Sjöblom, chief executive officer of Recover, in a statement shared by the textile company. With the launch of this new yarn vertical, the company now operates as “a fully integrated ecosystem encompassing fibre, yarn, fabric and finished garment, connecting every stage of the value chain under the umbrella of a reliable brand, guaranteeing clarity, traceability and circularity” for its customers, “from raw material to finished product”.

An adaptive solution for any scale, use and destination

Available for purchase from today, Recover highlights the unique characteristics of its new recycled cotton yarn family. The company emphasises its value as a flexible solution adaptable to multiple uses, production scales, and manufacturing origins and destinations. These features make the collection an optimal solution for any active participant in the textile and fashion industry.

The new yarns, developed in collaboration with Recover's existing global network of spinning mills, offer a wide variety in terms of composition, blends and technical capabilities. This diversity allows them to be used for applications ranging from jeans and denim garments to jumpers, workwear and fleece linings. The Valencian company highlights that thanks to its global network of over 150 collaborating spinning mills, the “Recover Yarns” range can support brands in any geographical location, regardless of their required production volume.

The “Recover Yarns” respond “to the need for adaptable product solutions that allow the integration of recycled cotton at an industrial scale,” noted Enes Adak, product director at Recover. The textile company highlights that its new yarns “simplify the sourcing and development of recycled cotton yarns” within the industry. They offer “a versatile range of options and yarn collections that adapt to market needs, innovative blends and technologies.” This “adaptive approach” ensures the “Recover Yarns” platform can support brands of all sizes in terms of volume, geography, price points and end uses, while facilitating long-term collaboration with business partners. The company reiterates that it offers “a flexible and scalable solution that evolves alongside the production and sustainability strategies” of industry players, “keeping recycled cotton at the heart of its portfolio” of solutions.

The Competition and Markets Authority (CMA) in the UK has opened a formal review into Ebay’s planned acquisition of Gen-Z focused fashion resale platform Depop, to determine the “impact that the transaction could have on competition in the UK”.

The UK’s competition regulator said it has finished the first part of its information-gathering process and closed its invitation to comment, which allowed interested parties to comment on the proposed transaction.

According to the CMA, the merger inquiry will run until August 6, when it will then clear the deal or suggest further investigation.

Ebay announced in February that it planned to buy Depop from Etsy for approximately 1.2 billion US dollars in cash, with the acquisition expected to close in the second quarter of 2026.

The deal is expected to help Ebay expand its reach among younger shoppers, as nearly 90 percent of Depop’s 7 million active buyers are under 34.

In February, Jamie Ianonne, chief executive officer of Ebay, said: “Depop has built a trusted, social-forward marketplace with strong momentum in the pre-loved fashion category, and we are confident that as part of Ebay, Depop will be even more well-positioned for long-term growth, benefiting from our scale, complementary offerings, and operational capabilities.”

Washington - The United States released an updated list on Monday of Chinese companies it considers to be aiding the country's military.

The list includes, among others, e-commerce giant Alibaba, search engine provider Baidu and electric vehicle manufacturer BYD.

The US Department of Defense announced the designations just weeks before President Donald Trump was due to meet Chinese leader Xi Jinping in Beijing, as both sides sought to maintain stability in their bilateral relationship.

The Pentagon's update comes months after it released—and then withdrew—an earlier version of the list without explanation.

The new list is largely similar to the version briefly published in February.

Two memory chip manufacturers were reinstated to the blacklist after being removed at that time: ChangXin Memory Technologies and Yangtze Memory Technologies.

“This updated list of Chinese military companies is a warning to American companies, all levels of government and the American people,” said representative John Moolenaar, republican chairman of the House Select Committee on China.

In a statement, he urged US companies to “stop doing business with these threats to our national security” or risk “facilitating China's military rise”.

Among the companies affected are also some of China's leading technology giants involved in the artificial intelligence race, such as Alibaba, Baidu and Tencent.

Baidu rejected its inclusion on the list in a statement on Chinese social media, calling the accusations “completely unfounded”.

“The claim that Baidu is a military company is completely baseless. We will not hesitate to use all resources at our disposal to have the company removed from the list,” a spokesperson said.

Alibaba called its inclusion on the list “a mistake” and threatened legal action.

“Alibaba Group is not a Chinese military company nor is it part of any military-civil fusion strategy,” the company said in a statement.

Trump invited Xi to visit Washington in September. The list could stoke tensions between the world's two largest economies.

Madrid – British investment group Cap Capital is finalising the details of the new strategic plan for the relaunch of Pronovias. This follows the court-ordered award of its production unit to the investment holding company by the Commercial Court No. 9 of Barcelona. The fashion group has just revealed the main key points of this roadmap.

According to information from Pronovias' management, the bridal fashion group is entering a new chapter under the control of Cap Capital. The company has stressed that it will continue to focus on developing and growing based on the same pillars that have “defined its trajectory”. These pillars have led it to become a historic mainstay of the bridal world, stemming from its role as a pioneer in bridal prêt-à-porter. These pillars are identified by its firm commitment to design, quality, innovation and its international focus.

Building on this foundation, Pronovias is entering a new phase. The bridal fashion group highlights that the “new Pronovias” under Cap Capital's control will maintain its main objective of promoting a renewed business model. This model will be more modern, more connected and better prepared to lead “the next evolution of the bridal sector”. They emphasise that this framework will be supported by the “stability” and “long-term” vision with which the British investment group has taken control of the historic Spanish bridal fashion group. The company will focus on implementing strict operational discipline to boost its growth. The aim is to return the fashion group to its position as a leading and benchmark company at the forefront of the bridal world.

“The company is facing this new cycle with a clear objective”, which involves “strengthening the shopping experience, evolving the boutique model and accelerating its international growth through a stronger, closer and more connected commercial network that meets the needs of brides”, Pronovias' management stated. “In this context”, they added, “franchises will play a key role in expanding the brand's presence and accelerating its development in strategic markets”.

Franchises, the United States and AI

Delving into this new strategic plan, Pronovias has announced that it will be officially presented on September 8, 2026. During this event, the bridal company will also present its new store concept, “designed to elevate the shopping experience, strengthen the connection with customers and open a new stage of growth for the brand”. It is positioned as one of the main pillars of the roadmap, alongside a strong focus on the United States and advancements in the implementation of artificial intelligence (AI).

Regarding these three main strategic pillars in more detail, Pronovias has confirmed the “key role” that franchised stores will play in the new commercial and business structure of the “new Pronovias”. This commitment to the franchise model will be complemented by the company's reduced and well-maintained network of own-brand stores. The number of stores is expected to shrink significantly from the 53 it operated before the acquisition by Cap Capital. This aligns with the investment holding's intention to reduce the company's operating expenses, as stated in its acquisition proposal for Pronovias.

The second strategic pillar is a sustained commitment to internationalisation, which will translate into a decisive and prioritised offensive in the US market. In this country, Pronovias will seek to strengthen its presence and increase its consolidation through a more local and competitive offering and experiences. At the same time, the company remains firm in its determination to continue strengthening its position in Europe.

Finally, the third pillar, which ties in with the previous points, is the key role that new technologies, especially artificial intelligence (AI), will play in this new chapter for Pronovias. This point initially creates some friction and reveals potential risks. Technology itself, and even more so AI, tends to feel cold, distant and disconnected. These feelings do not align with the emotional universe on which the bridal industry is based. However, Pronovias is developing a project “aimed at redefining the bridal experience, integrating inspiration; personalised advice; customer knowledge; and commercial capabilities into a more connected ecosystem”. More details about this initiative are expected to be revealed at the September presentation. It will seek to “improve the bride's experience and enhance the relationship between the brand, the ‘boutiques’ and its international network”.

“We are starting a new phase focused on strengthening our distribution channels, evolving the in-store experience and accelerating our international growth,” summarised the management of Pronovias. For this new chapter, “we want to be closer to brides, offer an increasingly personalised experience and continue to expand our presence in key markets such as the United States”. They added that in pursuit of these key priorities and objectives, “technology and artificial intelligence will be fundamental tools to accompany this transformation and build the future of the bridal experience”.

South African specialty retail group TFG (The Foschini Group) reported a 29.4 percent increase in sales to 488 million pounds (652 million dollars) for its TFG London division during the financial year ended March 31, 2026.

The growth was primarily driven by the recent acquisition of British fashion brand White Stuff, which performed well and recorded pro forma sales growth of 4.3 percent. Excluding the impact of the White Stuff acquisition, legacy UK turnover remained flat in pounds. Management attributed the stagnant organic sales to a highly constrained discretionary consumer spending environment across the UK, which has been severely impacted by elevated living costs and subdued consumer confidence.

Operations hit by category weakness and cyber disruption

The performance of the legacy TFG London brand portfolio was negatively affected by several operational headwinds during the 12-month period. Key factors included:

Weakness across core occasion-wear categories;

Softer overall trading volumes within department store concession channels;

Significant operational disruption resulting from a major cyber incident that affected a key online concession partner.

Negative leverage pressures operating profit

Although regional management remained focused on protecting operating profit margins through targeted cost containment and reduction initiatives, the flat organic sales generated severe negative operating leverage.

Consequently, segmental EBIT declined by 65.4 percent before accounting for brand impairments and the acquisition costs incurred in the prior financial year.

Reflecting a deterioration in long-term cash flow expectations under current economic conditions, the parent group recognised non-cash impairment charges against its UK-based Phase Eight brand. Moving forward into the next financial year, profitability for TFG London will remain heavily dependent on disciplined gross margin protection and strict cost management.

French womenswear prêt-à-porter brand Grain de Malice is exploring its entry into the Spanish market. This will be through a franchise-based expansion model and the search for a local operator. The brand already reaches Spain indirectly through its digital channel, with a presence on platforms like Zalando.

The company, which specialises in mid-range womenswear, is planning this move as part of its international growth strategy. It already operates more than 200 points of sale outside its home country.

Founded in 2007, the brand has positioned itself in the accessible womenswear segment. Its collections are aimed at women over 35 and sizes range from approximately 36 to 50. Its offering focuses on garments designed for different body shapes, with a stated emphasis on comfort, fit and in-store advice.

The planned expansion model for Spain is based on a commission-affiliation system. Under this system, the brand would retain ownership of the stock and the franchisee would act as a point-of-sale, receiving a commission on turnover. The estimated initial investment is around 100,000 euros, with an entrance fee of 12,000 euros, no royalties, and a marketing fee of 2 percent plus an additional 1 percent. The planned stores have an average area of around 160 square metres, with five-year contracts and a minimum population requirement of 40,000 inhabitants.

On a corporate level, the company has undergone significant changes in its shareholding structure in recent years. After being linked to the Mulliez group ecosystem, it was acquired in 2023 by an investment consortium. This consortium was formed by Groupe Philippe Ginestet, the FE2T fund and its current management team. This change has been accompanied by an acceleration of its retail expansion and a greater commitment to international growth.

British women’s fashion brand Wyse London has appointed former Boden executive Cathy Newnes-Smith as its new chief executive officer, with immediate effect.

Newnes-Smith joins Wyse London following three and a half years as CEO of British lingerie and sleepwear brand Stripe & Stare, where she led the business through a significant period of growth and brand development.

Prior to this, Newnes-Smith spent 12 years at British clothing brand Boden, most recently serving on the executive leadership team as chief design and customer experience officer. In this role, she oversaw product design, buying, content and brand marketing, as well as creative and creative services.

In a statement, Wyse London said that Newnes-Smith brings “extensive experience” across brand building, customer experience, creative leadership and commercial growth, and will lead the brand through “its next chapter as the business continues to expand both its retail presence and digital offering”.

Commenting on the appointment, Marielle Wyse, founder of Wyse, said: "Cathy brings a wealth of experience and a deep understanding of our customer, making her an exceptional fit for Wyse London and our ambitions for the future. Her values, vision and commercial expertise are closely aligned with who we are as a brand and where we are heading.

“Both personally and professionally, I have enormous admiration and respect for Cathy. I have every confidence that she is the right person to lead Wyse through its next chapter, building on our strong foundations and driving the business forward as we continue to grow.”

Newnes-Smith added: "I am delighted to be joining Wyse, a brand I have admired for many years. Marielle and the team have always put customers at the heart of Wyse, understanding the power of clothes to give confidence, strength and joy.

“I am very much looking forward to working with Marielle and the team to continue growing the Wyse community in the years to come."

Founded in 2014, Wyse London began as a colourful cashmere brand and has grown into a full lifestyle label spanning knitwear, dresses, denim and outerwear. The contemporary brand also has a growing retail presence in the UK with stores in London, York, Burnham Market, and Southwold.

Portuguese technology company Smartex has added a colour measurement and control tool for the textile industry to its solutions portfolio, strengthening its digitalisation offering for dyeing and manufacturing companies. The new solution, named Smartex CTRL Color, is now available in Europe. It is part of a broader strategy combining technological development, a closer relationship with fashion brands and a future funding round aimed at accelerating the company's international expansion.

The product was originally developed by a British company and is now integrated into the Smartex ecosystem. According to Portugal Textil, it allows for the automatic detection and monitoring of colour variations in knitted fabrics. With this addition, the company completes one of the capabilities it had not yet covered within its platform, which until now had focused mainly on the automatic detection of defects during manufacturing processes.

The integration of CTRL Color aligns with the company's vision of building a digital infrastructure capable of connecting various textile manufacturing processes. Beyond developing inspection systems, Smartex aims to consolidate a platform that allows for the capture and management of production data throughout the entire value chain, from fabric manufacturing to garment construction. The company has even developed a label that can adhere to textiles and withstand the chemical processes typical of the dyeing stages.

As Gilberto Loureiro, president of Smartex, explained a couple of weeks ago at the ETP annual conference, colour measurement represents one of the most complex challenges in textile quality control and is a leading cause of product rejection in the final stages of production.

This commitment to digitalisation has also led the company to invest nearly two million euros in traceability and Digital Product Passport (DPP) technologies. Although the adoption of these solutions remains limited, especially outside of Europe, Smartex believes that future regulatory changes will ultimately drive their development. Currently, Portuguese companies such as Impetus, Familitex, Acatel and Tintex are already using Smartex Loop, the platform developed by the company to manage traceability and production information.

The company has also entered a new organisational phase with the appointment of Max Easton as chief executive officer, while Gilberto Loureiro has taken on the presidency. The change aims to strengthen the direct relationship with fashion brands, an area the company considers strategic for accelerating technological adoption in the supply chain. Although Smartex already collaborates with groups such as H&M, Inditex and Calvin Klein, the company acknowledges that there is still significant growth potential in this segment.

With nearly 80 employees, a presence in more than ten countries and over 45 million euros raised since its founding, Smartex is now preparing for the next phase of its development. The priority is to consolidate its solutions for finished fabric and strengthen its positioning among international brands. In parallel, the company is considering a new funding round to accelerate its expansion and broaden the reach of its technological proposal, with which it aims to become one of the leading digital partners in the global textile industry.

British certified B Corp underwear and sleepwear brand Stripe & Stare has appointed co-founder Katie Lopes as its new chief executive officer.

In a statement, Stripe & Stare said that Lopes appointment marks a “new chapter” for the brand, and will see her leading the next phase of its “ambitious global expansion” plans.

Lopes co-founded the lingerie and sleepwear brand in 2017, where she spearheaded the six years of research and development for the brand’s signature knickers, which are crafted from Tencel fabric, 95% biodegradable and claim to offer a fit where the style doesn’t ride up or dig in.

The female-founded brand now generates more than 10 million pounds in annual revenue and has evolved into a thriving global direct-to-consumer business, disrupting a category traditionally dominated by heritage players. Its stockists include Selfridges, Shopbop and Nordstrom.

Stripe & Stare strive to become the leading comfort-led underwear brand

Commenting on the appointment, Tracy Lewis, board chair of Stripe & Stare, said: “Katie has been the heartbeat of Stripe & Stare since day one. Her passion, entrepreneurial spirit and unwavering commitment to our customers and community have helped build an extraordinary brand.

“She is uniquely positioned to lead Stripe & Stare into its next era of growth, and we're all so excited to see the business reach even greater heights under her leadership.”

As CEO, Lopes is being tasked with making Stripe & Stare the world's leading comfort-led underwear brand, through accelerating investment in product innovation, deepening customer relationships, and expanding its international footprint, as well as further strengthening its environmental commitments.

Lopes said: "Stepping into the role of CEO is both a privilege and an incredible opportunity. Eight years ago, we set out to create underwear that women never wanted to take off. Today, Stripe & Stare is so much more than a lingerie brand, it's a community, a movement and a business proving that purpose and profitability can thrive together.

“I'm enormously proud of what we've built and incredibly excited for what's next as we continue to scale globally, innovate relentlessly and bring the world's most comfortable knickers to even more women around the world."

US fashion group G-III Apparel Group (G-III) has reported its financial results for the first quarter of fiscal year 2027, ended April 30, 2026. The company reported net sales of 536 million dollars, representing an 8 percent decrease compared to the same period of the prior year.

Despite the revenue decline, net income for the first quarter increased to 66.50 million dollars, or 1.50 dollars per diluted share, including a 77.90 million dollar benefit under the International Emergency Economic Powers Act. On a non-GAAP basis, net income per share for the first quarter was a loss of 0.21 dollars per share, compared to an income of 0.19 dollars per diluted share last year, while gross margin increased by 2,270 basis points to 64.9 percent.

G-III chairman and chief executive officer, Morris Goldfarb, stated: “The quarter was better than expected with both our net sales and earnings coming in ahead of guidance. Our go-forward portfolio saw continued momentum and healthy full-price selling, which contributed to meaningful gross margin expansion versus the prior year.”

Strategic acquisition of Marc Jacobs

The financial report follows the company's recently announced definitive agreement to acquire the US designer brand Marc Jacobs in partnership with brand management firm WHP Global. The transaction will establish a 50/50 joint venture to hold the intellectual property of the brand, with G-III managing the global operating business.

Goldfarb added: “Marc Jacobs is one of the most influential brands in fashion, and we see tremendous opportunity to build on its strong foundation and drive long-term growth across categories, channels, and geographies.” The current financial outlook does not incorporate any potential impact from this pending transaction.

Revision of fiscal year 2027 earnings outlook

Based on the first quarter performance, G-III has updated its financial guidance for the full fiscal year ending January 31, 2027. Net sales are projected to reach approximately 2.71 billion dollars, down from 2.96 billion dollars in fiscal year 2026. This estimation accounts for an anticipated loss of approximately 470 million dollars in sales from Calvin Klein and Tommy Hilfiger products.

Full year net income is expected to range between 171 million dollars and 175 million dollars, with diluted earnings per share between 3.85 dollars and 3.95 dollars. This is an increase from the net income of 67.40 million dollars reported in fiscal year 2026. Non-GAAP net income is projected between 95.00 million dollars and 99 million dollars, down from 116.20 million dollars in the prior year. Adjusted EBITDA is forecast between 178 million dollars and 182 million dollars, compared to 192.40 million dollars in fiscal year 2026.

For the second quarter ending July 31, 2026, G-III expects net sales of approximately 570 million dollars, compared to 613.30 million dollars in the second quarter of the prior year. Second quarter net income and non-GAAP net income are both projected to sit between 7 million dollars and 11 million dollars, compared to 10.90 million dollars and 11.20 million dollars respectively in the same period last year.

The US bankruptcy court for the southern district of Texas has approved the reorganization plan of Saks Global Enterprises LLC (Saks Global), a US multi-brand luxury retail company. The plan gained support across the capital structure from participating creditors, with an overwhelming majority voting in favour. Confirmation of the plan allows the company to exit chapter 11 in the coming weeks with a strengthened financial foundation.

“Securing approval of our Plan is an incredible achievement for Saks Global, and the broad-based support we have received from our capital partners, brand partners and other key stakeholders reflects confidence in our future,” said Geoffroy van Raemdonck, chief executive officer of Saks Global. Van Raemdonck added that with the commitment of capital partners and the dedication of the team, the company is on track to emerge stronger and more focused, poised for profitable and sustainable growth.

Upon emergence, the debt of Saks Global will be reduced significantly, by nearly 75 percent, and the company will have the liquidity necessary to support operations and invest in its future. The plan establishes the foundation for the retailer to accelerate sales growth, with a focus on strong full-price selling. The company aims to generate 9 billion dollars in total gross merchandise value and double-digit adjusted EBITDA by fiscal year 2030.

Progress toward sustainable growth

Brandy Richardson, chief financial officer of Saks Global, noted that with significantly reduced debt on the balance sheet at emergence and having already achieved substantial cost savings through the optimization of its footprint, operations, and organization, the business is well positioned for future success.

In less than five months, Saks Global has progressed in evolving its business to support a more sustainable future. This includes establishing an improved capital structure and strengthening relationships with brand partners to facilitate the delivery of a curated product assortment.

The company has also optimized its store footprint and supply chain network to support its integrated retail model. This model is anchored by the best-performing stores in markets with a high concentration of luxury customers, alongside distinct e-commerce platforms and remote selling services. Saks Global has also focused on its core luxury business by streamlining the majority of its off-price business to prioritize luxury and full-price selling, while right-sizing the corporate team to align with this strategy.

The actions of the company are translating into sustained momentum. Store sales for the go-forward operations continue to show steady improvement, reflecting stronger customer engagement as a result of increased inventory.

Shares of Lululemon Athletica fell about 8 percent on Friday to an over seven-year low of 109.36 dollars, Reuters reported, after the activewear retailer cut its full-year profit forecast and signalled mounting operational pressures. The sharp selloff reflected growing investor concern about the pace of the activewear retailer's turnaround and the challenges facing incoming chief executive Heidi O'Neill, who is set to assume the role in September.

The earnings disappointment has intensified scrutiny of a business grappling with weakening brand momentum, rising competition and a series of product-related setbacks. The market reaction has also significantly compressed Lululemon's valuation, with the company now trading at roughly 10 times forward earnings, well below rivals such as Nike and Adidas.

Brand challenges and product missteps weigh on sentiment

Investor confidence has been undermined by concerns over both brand perception and product execution. Management acknowledged that recent sales trends were affected by negative media coverage and social media commentary linked to a prolonged proxy battle with founder Chip Wilson.

Wilson has publicly criticised the company's leadership, arguing that the brand has lost some of its premium appeal while attempting to broaden its market reach. Those concerns have been amplified by customer complaints regarding product quality and innovation.

The company faced backlash following the launch of its 108-dollar "Get Low" leggings, with consumers posting on social media that the garments were see-through. Other recent collections have also drawn criticism over fit, design and overall product quality, raising questions about Lululemon's ability to maintain its premium positioning.

Analysts warn of structural risks

The operational slowdown prompted French banking group BNP Paribas to downgrade the stock from Neutral to Underperform and cut its price target to 88 dollars, implying further downside from post-earnings trading levels.

In a research note, analysts Laurent Vasilescu, Aubrey Tianello and Leah Yang argued that the company's challenges extend beyond short-term execution issues and reflect deeper structural concerns that could persist through fiscal 2027.

Among the key risks identified was Lululemon's continued expansion of its store footprint despite declining comparable sales in the Americas, where same-store sales fell 5 percent. Analysts warned that the resulting fixed-cost pressures could weigh on profitability for several years.

They also pointed to what they described as a dilution of focus within the company's core business. Investments in newer categories, including footwear, self-care and technology products, have coincided with weaker performance in Lululemon's foundational yoga apparel business.

At the same time, growth in China—long regarded as one of the retailer's strongest expansion markets, has begun to slow. Excluding the benefit of a Chinese New Year calendar shift, comparable sales growth in the region moderated to approximately 5 percent.

Profitability under pressure

First-quarter results highlighted the scale of the financial challenges facing management.

Operating income declined 37 percent year over year to 276.95 million dollars, while operating margin contracted by 730 basis points to 11.2 percent. Net income fell to 195.05 million dollars, resulting in diluted earnings per share of 1.69 dollars, compared with 2.60 dollars a year earlier.

According to estimates cited by brokerage firm William Blair, Lululemon's full-year operating margin is expected to decline by approximately 380 basis points to 16.1 percent, which would represent the company's lowest margin level since 2006.

O'Neill faces high-stakes leadership transition

The pressure on incoming CEO Heidi O'Neill is mounting as analysts reassess the company's prospects. At least nine brokerages have reduced their price targets in recent months, with the median target falling from 205 dollars to 149 dollars over the past three months.

Investors remain uncertain whether management's strategy of increasing discounts on older inventory will be sufficient to stabilise demand and improve performance.

The challenge for O'Neill is compounded by the long lead times inherent in apparel manufacturing, meaning many product decisions for 2027 have already been made. As a result, investors will be closely watching whether she can oversee a successful product reset, restore confidence in the brand and reignite growth in North America while preserving Lululemon's premium market positioning.

Mystery shopping has long been a familiar tool in fashion retail for assessing in-store customer experience. Previously used primarily to monitor service agreements, its focus is increasingly shifting towards learning and improvement. Retailers now use insights from store visits as input for coaching, training and discussions on the shop floor. To better understand this development, FashionUnited spoke with fashion retailers, industry organisations and a retail expert.

Research agency Excap, based in Groningen and Antwerp, no longer views mystery shopping as a standalone measurement tool. It is now seen as part of a broader analysis of the customer experience. Arjen van Hijum, managing director of Excap, personally confirmed this to FashionUnited. The agency, which began with in-store mystery shopping over 20 years ago, now focuses on the entire customer journey, incorporating both physical stores and online touchpoints. “How a customer experiences a brand depends on many touchpoints,” stated Excap. Within fashion retail, the store remains a key moment for orientation, advice and trying on products.

According to Excap, retailers use mystery shopping for a variety of reasons. Brands use it to assess how their products are presented and recommended in stores. Other organisations use it to measure the extent to which employees apply trained sales techniques on the shop floor. Larger retail chains also use the tool to monitor whether brand values and desired practices are consistently implemented across different branches. The emphasis is often on aspects such as customer approach, product knowledge and the progression of the sales conversation.

G-Star and My Jewellery on mystery shopping as a development tool

FashionUnited spoke with G-Star and My Jewellery about their use of mystery shopping within their retail organisations. Both brands collaborate with the platform Secret View, using the tool systematically to measure the store experience with a strong focus on coaching and team development.

At G-Star, a mystery shopper visits every store each quarter to assess the customer experience based on predetermined criteria. The results are immediately accessible to store managers, who then discuss them with their teams. Pascal de Boer, retail director at G-Star, emphasises that the insights are used not just to measure performance, but to implement targeted improvements and share successes within the organisation. Dashboards also allow for the analysis of results at a regional, national or channel level, revealing broader trends.

My Jewellery also employs mystery shopping to monitor the experience within its physical boutiques. The focus is firmly on service as a key differentiator in its stores. According to the brand, the results provide insight into how customers perceive the store and highlight opportunities for improvement. These insights subsequently form the basis for training and coaching at both team and organisational levels.

Both retailers use dashboards to monitor performance and track developments. G-Star emphasises the systematic measurement and analysis of store performance. My Jewellery, however, explicitly uses the outcomes to further optimise the store experience, focusing on customer approach, product knowledge and visual merchandising.

According to both brands, the effectiveness of mystery shopping is closely linked to the internal application of its results. Transparency, a focus on development and the active involvement of store teams in the follow-up process are crucial. When insights are used as a basis for feedback and training, employees generally perceive the tool as both educational and motivating.

At G-Star, this approach has led to measurable improvements in store performance, with a consistent rise in mystery shopping scores between the first assessment in 2025 and the first in 2026.

More retail examples: Inno, Carhartt, Les Soeurs, Ziengs and Batavia Stad Fashion Outlet

G-Star and MyJewellery are not the only companies using mystery shopping services. Several providers offer these services in the Netherlands. Companies such as Inno; Carhartt; Les Soeurs; Ziengs; and Batavia Stad Fashion Outlet (in no particular order) work with Excap, for example.

According to the agency, each of these organisations uses mystery shopping to meet specific objectives. It is used to assess how brands are promoted within multi-brand environments; to test the application of sales and advisory skills training by employees; and to gain insight into the quality of sales conversations on the shop floor. Larger organisations also use the tool to monitor the consistent implementation of brand values, terminology and desired customer approaches across different branches.

More focus on omnichannel and speed

The application of mystery shopping is also shifting towards a broader view of the customer journey. There is a greater focus on the cohesion between online and offline channels, for instance by including e-commerce experiences or in-store return processes.

The speed of reporting has also increased. While results were previously available only after several weeks, clients now often expect insights via dashboards within a few days. “Our clients expect and, if requested, receive insight into results within 48 hours. This ranges from individual visit reports to a dashboard where we link various data sources,” stated Excap.

According to Excap, mystery shopping also requires a clear cost-benefit analysis. The initial investment can be a barrier for some organisations, with the return not always being immediately apparent. The agency emphasises that success depends partly on internal positioning. Excap notes that mystery shopping is more readily accepted on the shop floor when introduced as part of a broader vision for employee training and development, rather than as a standalone monitoring tool.

This approach aligns with the experiences of G-Star and My Jewellery, where mystery shopping is explicitly used as a learning instrument. By sharing results transparently and using them for coaching and training, store teams there generally find the tool motivating and educational.

The agency also notes an increase in online mystery shopping. The tool is used to test digital applications, such as e-commerce functionalities or new technologies for online fitting and personalisation. Companies use mystery shoppers in these instances to gain insight into the usability and customer experience of these tools. According to Excap, combining these insights with existing customer data allows organisations to better connect customer experience with commercial performance over time.

De Onderzoekfabriek on how its use is shifting towards development

In fashion stores, mystery shopping often focuses on moments of personal contact between staff and customers. This includes the greeting; enquiring about needs; providing suitable product advice; assisting in the fitting room; and completing the sale. A spokesperson for De Onderzoekfabriek told FashionUnited that these interactions are crucial in determining whether a customer ultimately makes a purchase. Retailers also use the results to identify differences between branches, allowing them to investigate where service agreements are being met more or less effectively.

The spokesperson provided FashionUnited with a practical example. At a large shoe chain, mystery shopping revealed that while customers were greeted, staff often asked only general questions such as “can I help you?”. After coaching on asking more targeted questions, such as the occasion for the shoes or the desired style, there was an improvement in both the mystery shopping scores for advice and closing the sale, as well as in the number of purchases.

The agency observes developments similar to those seen by Excap. These include the use of dashboards and data analysis for faster access to results and the growing integration with online customer journeys via e-commerce or chat. De Onderzoekfabriek also notes an increased use of photo and video materials to more concretely illustrate situations from store visits during the coaching or training of store teams.

Retail expert Dirk Mulder: objectivity depends on execution

To gain a broader, independent perspective on this development, FashionUnited also spoke with retail expert Dirk Mulder of ING. He believes the value of mystery shopping depends heavily on how organisations implement the tool. “If you use it to hold employees accountable, it remains a monitoring tool. If you use it as a basis for feedback, training and discussion, it becomes a coaching instrument,” Mulder stated.

He believes mystery shopping can help improve service and customer experience, but the measurement tool is not entirely objective. The outcomes depend on factors such as the timing of the assessment, the frequency of visits and the mystery shopper's interpretation. Establishing clear criteria and scenarios beforehand can, however, increase objectivity.

When organisations use the results as a basis for training and development, it can contribute to a better store experience and, in the long term, to commercial performance. He notes that direct effects on revenue are difficult to prove. Improved service can, however, encourage customers to stay in the store longer, spend more and return more frequently.

Looking ahead, Mulder expects mystery shopping to evolve further towards a broader, omnichannel approach. This will involve assessing not only the physical store experience but also online touchpoints and the cohesion between both channels throughout the entire customer journey.

Pinterest has extended its partnership with Amazon Web Services (AWS) as it doubles down on AI infrastructure. The social media platform has confirmed a four billion dollar commitment to utilise AWS Trainium and Graviton to train and run AI models at scale through 2031.

The agreement, described as the largest infrastructure deal in the company’s history, will see Pinterest put to use Amazon’s custom silicon chips to host and run language models and vision-language models that power personalised visual search and AI-assisted discovery. Pinterest will also expand its use of Graviton, AWS’ processors designed for cloud computing workloads, to run discovery systems.

This latest agreement expands on Pinterest and AWS’ existing relationship spanning back to 2010. Since the partnership’s inception, the duo have worked to enhance Pinterest’s reliability, efficiency and performance, and have built what is said to be “one of the largest-scale data lakes” – a repository that stores raw data – on AWS.

Pinterest has also been broadening its use of AI in an effort to enhance discovery. The platform has introduced features such as Taste Graph and Pinterest Assistant that provide users with advanced recommendation systems and conversational discovery options, all to improve and personalise its online experience.

Now, the company said the renewed commitment supports the next phase of growth across AI model implementation, with AWS to provide further flexibility, hardware optionality, and infrastructure efficiency to accelerate its AI vision, Pinterest’s chief technology officer, Matt Madrigal, stated.

“This strategic partnership will help accelerate AI innovation at Pinterest, improving both our consumer experience and advertiser performance by advancing our proprietary models and our use of open-source models,” Madrigal added.

The US-based direct-to-consumer (D2C) apparel, intimates, and accessories brand Torrid Holdings Inc. (Torrid) has announced its financial results for the first quarter of fiscal year 2026, ended May 2, 2026, reporting net sales that surpassed internal projections.

Total net sales for the period reached 245.82 million dollars, exceeding company guidance despite representing a 7.63 percent decrease compared to 266.02 million dollars in the first quarter of the prior fiscal year. Comparable sales for the 13-week period declined by 1.73 percent.

Lisa Harper, chief executive officer of the US clothing retailer, stated that the results reflect disciplined execution across strategic initiatives. Harper noted that the initial deployment of an opening price point strategy has driven customer conversions and increased basket sizes, positioning the business for comparable sales growth in the second half of the year.

Profitability trends and store network optimization

The retailer experienced a contraction across its main profit metrics during the first quarter. Gross profit margin fell to 35.31 percent, down from 38.12 percent in the first quarter of fiscal year 2025.

Net income narrowed to 0.42 million dollars, compared to a net income of 5.92 million dollars, or 0.06 dollars per share, in the same period last year.

Adjusted EBITDA stood at 17.61 million dollars, representing 7.23 percent of net sales, which landed at the upper end of company expectations. This performance compares to an adjusted EBITDA of 27.12 million dollars, or 10.23 percent of net sales, in the first quarter of last year.

As part of its ongoing store footprint optimization project, Torrid closed 20 physical retail locations during the quarter. The specialized womenswear company ended the financial period with a total fleet of 463 stores.

Marketing infrastructure and strategic outlook

Following the restructuring of its product and pricing baseline, the corporate strategy for the remainder of fiscal year 2026 will prioritize customer file growth. The group plans to enhance acquisition, reactivation, and retention through artificial intelligence-driven personalization and upgraded paid media spend optimization.

The brand also intends to relaunch its customer engagement platform, Casting Call, in July 2026 as a permanent ambassadorship project. The initiative will be scaled nationally via marketing activations in Times Square alongside domestic instore experiences.

For the second quarter of fiscal year 2026, Torrid projects net sales to fall between 232 million dollars and 240 million dollars. Adjusted EBITDA for the three-month period is expected to range from 12 million dollars to 16 million dollars.

For the full fiscal year 2026, the company estimates total net sales between 940 million dollars and 960 million dollars. Full-year adjusted EBITDA is anticipated to arrive between 65 million dollars and 75 million dollars.

The Middle Eastern market is facing significant disruption due to geopolitical tensions, inflation, and a decline in tourism. Experts from CXG are offering advice on crisis management and resilience for luxury brands already present in the Gulf countries or heavily reliant on this clientele.

CXG (Customer Experience Group) is a consulting and customer experience measurement firm specialising in the luxury and premium sectors. It currently supports over 200 luxury brands in more than 70 countries, particularly those facing major crises. The Gulf countries are currently experiencing such a situation.

The issue is particularly strategic because CXG considers Middle Eastern consumers a crucial clientele for high-value luxury purchases. Dubai and Riyadh have also established themselves as key hubs for the industry.

According to CXG, luxury brands have often successfully leveraged crises to evolve. In response to the current situation, the firm provides several potential courses of action.

Market diversification

CXG advises against depending on a single region. Brands must diversify their geographical exposure. Among Middle Eastern markets, they should consider Saudi Arabia a long-term priority due to Vision 2030.

Vision 2030 is Saudi Arabia's economic diversification strategy. It aims to reduce oil dependency by investing in tourism, culture, and high-end consumption.

Furthermore, luxury brands would benefit from serving their Gulf clients where they travel and make purchases, rather than focusing solely on boutiques within the region.

Extending relationships beyond the boutique

The boutique remains at the heart of the luxury experience, but it should no longer be the sole point of contact. According to CXG, brands must develop private clienteling; remote personalised services; proactive interactions with their clients; and strengthen local cultural integration.

Additionally, international brands would benefit from better understanding local cultural references rather than applying a uniform model across all markets.

Customer experience as a competitive advantage

The authors highlight that Middle Eastern consumers are not just experiencing logistical disruption but an emotionally complex situation. Brands are therefore encouraged to show empathy in their communications and interactions and to implement a controlled pricing policy to better cope with economic uncertainties.

For CXG, the ability to make each client feel recognised, understood, and valued remains the primary advantage of luxury.

In summary, according to CXG, the fundamentals of the Middle East remain strong: wealth; a young population; strong brand loyalty; and an appreciation for craftsmanship. The distinction will be between brands that use this period to strengthen their client relationships, organisation, and cultural understanding, and those that simply wait for a return to normality.

The summer of football begins next week with the opening match of the men's World Cup, held in the US, Canada, and Mexico. US sportswear brand Capelli Sport will also be participating, equipping the national team of Cape Verde and distributing licensed products from the Fédération Internationale de Football Association (FIFA).

In Europe, the team sport specialist is primarily known for its partnerships with clubs such as VfL Osnabrück, Grasshopper Club Zürich, and Sheffield FC. Capelli Sport has been based for over ten years with its European headquarters in Ratingen, North Rhine-Westphalia, near Düsseldorf, in a major football hub.

In this interview, Mourheg discusses the company's expectations for the tournament, current business performance, and the markets Capelli Sport plans to expand into.

World Cup is approaching. What are your expectations for the tournament?

The tournament is particularly interesting for us for several reasons, especially because it is taking place on our doorstep. Our parent company is based in the US, with headquarters in New York City and New Jersey, and our distribution centre is just five minutes from the MetLife Stadium, where the final will be held.

This is an extremely important event for the market there. We are already the market leader in US amateur football; everything below Major League Soccer (MLS) is our core business. When a mega-event comes to the country, it boosts the entire sport. For us as the market leader, this means a noticeable push in revenue, player numbers, and membership growth, and new football clubs are formed. That is why we definitely want to be involved, with at least one nation on the pitch.

Do you have a rough idea of the revenue boost the tournament will bring?

It depends on how many of our existing clubs benefit and how many new clubs approach us. Historically, the entire market's focus shifts heavily towards football during such periods.

The host nation's performance also plays a role; if they are eliminated in the group stage, the effect quickly dissipates. In the US, one mega-event follows another seamlessly. It would therefore be beneficial for the sport if the US team progresses as far as possible. We anticipate a short-term increase of up to 10 percent in US youth football. Furthermore, World Cup years are generally growth years for sports brands. Since we serve the team sports market directly, bypassing retail, we feel such developments immediately within the current year.

How has the first half of the year been for you, both globally and in Europe?

Good. The Cape Verde partnership alone, announced this half-year, has automatically generated a lot of interest. Considering how few brands besides the three major players are represented at a World Cup, it is really just a handful. This helps us enormously, including in direct conversations with clubs. We also had other strong areas: lacrosse and field hockey, with the latter becoming increasingly active with the upcoming European Championship. Overall, it has been an eventful first half.

Can you comment on revenue development?

Not yet definitively. It is a very seasonal business, and a lot still happens over the course of the year. We are not a brand that waits for pre-order rounds. Since we serve the team sports market directly, our revenue developments are more immediate. When the season starts, we see what the year has brought. Other brands have long since closed their order books and can do little to change things for this year. Our cycle is different; there is still a lot of movement.

Besides the sportswear segment, you are also responsible for Capelli New York. Do you notice differences between the two areas given the current consumer sentiment?

Yes, definitely. The sports industry is developing differently from fashion. In the fashion and accessories sector, we are heavily dependent on general consumer sentiment and even the weather. If people shop less, it is immediately reflected. In team sports, however, the business is more stable. As long as the ball is rolling, there is momentum, relatively independent of the weather. There are more relevant cycles about the World Cup schedule, mega-events, or the sporting success of a national team.

How large is Capelli Sport in relation to the fashion division?

The sports brand is clearly the group's major growth sector. The fashion accessories business, primarily under Capelli New York, has existed since the company was founded 36 years ago. We are the market leader there, generating around 300 million in revenue. The growth potential in this segment is largely exhausted.

In sports, however, we have enormous growth rates. The brand has been around for 12 years, and we are now the market leader in US youth and amateur football, generating around 85 million in revenue worldwide. This is more than some long-established brands in Germany have achieved after over 100 years. Therefore, the balance between the two divisions at the group level is shifting rapidly. The focus is clearly on the sports brand.

How does this differ in Europe?

In Europe, the ratio is more balanced; we have been active here with the fashion division for 26 years. The revenue split between sports and fashion is approximately 50-50.

How are the sales channels structured?

In the fashion sector, it is a classic wholesale business. More importantly, we market our brand on our own self-managed spaces in large department stores without our own staff but with our own brand presence. We are present in stores like Galeria and P&C, among others. This is complemented by white-label production for large retailers and private label listings.

In the sports segment, direct sales is the core business. Our own sales team sells directly to clubs, building personal relationships. Wholesale plays a subordinate role there and is limited to merchandise products, such as fan jerseys like those for Cape Verde. We also work with sports generalists like Engelhorn, as well as with equipment, accessories, and balls, with the exception of club kits, which are not sold through retail.

Your football partnerships range from professional level to amateur sport, which are also present with integrated fan shops on your website. Where do you draw the line between sponsorship and customer?

It is not always about sponsorship. Many clubs cooperate with us because we provide services for them, such as creating a club collection or setting up a team shop in our online store. These are collaborations without a sponsorship character. A sponsorship begins at a certain level, and league affiliation is not the decisive criterion for us.

We do not see being present with our logo on television broadcasts as a primary goal. It is more important for us to build brand awareness in the region through an engagement with a professional club and then more easily enter into discussions with amateur clubs in the area. The bread-and-butter business is amateur football. The merchandise business with clubs like Alemannia Aachen or VfL Osnabrück, which have a large fanbase, is an added bonus.

There are no standalone Capelli Sport stores, correct?

Correct, we currently have no standalone stores. There were once pop-ups in New York on Fifth Avenue, but no permanent locations.

Do you rely solely on showrooms for these partnerships, and do all the clubs come to you in Ratingen?

Ratingen is the headquarters with a showroom and distribution centre, where we welcome many clubs. We also have many people on the ground in various regions, whether in Bavaria or the north, as well as abroad. In addition, there are separate showrooms in places like Manchester, London, Greece, and other markets. Sometimes, we also have partnerships with clubs where we use a local space for meetings, sample presentations, or as a base for our field sales team.

You are active in more than 20 markets in Europe. Which are the key markets?

Strategically, in the long term, it is of course the 'Big Five' – the markets where we must have a presence: England, Germany, Spain, Italy, and France. We have had a very strong presence in England with our own offices from the beginning, and Germany is our largest market and will remain so in ten years' time. Besides these two markets, we are also currently well-positioned in other markets.

Which countries are those?

We are really pushing ahead in Poland and have good clubs and partnerships there, currently with two teams in the top league. Denmark is a very strong market, which has grown partly because we are represented with our own club in the second division. The Capelli Sport stadium is about a quarter of an hour from Copenhagen, where we host many activities. That has grown very quickly and organically.

We are also very strong in the Balkans, with the Serbian national team and our own local team, among others. In Greece, we have an office and started very early with AEK Athens, back when they were in the Champions League.

Is a major club or a national team the door-opener for you in a market?

That is the classic approach. You start with a major club and build a structure around it to then be able to penetrate deeper into the individual markets.

We do not do everything at once. In some markets, we currently only have one major club and are putting deeper development on the back burner for now. It is also a relationship-driven business; often, a new market has emerged that was not even on the roadmap because a strong partnership presented itself. The great thing about Europe is that this works relatively smoothly, without trade barriers or currency differences. Whether we win a club in Bavaria or the Netherlands, the distance to the neighbouring country is even shorter.

You just mentioned the 'Big Five'. Are the other markets besides Germany and England more difficult to enter?

Yes, Italy is a classic example of this. We do not have a single partner there yet. The football market there is romantic and visibly very appealing; it clearly belongs to the 'Big Five' and must be addressed at some point. It is, however, a more complex market than others. As long as we still have enough growth potential in other markets, we prefer to take the easier path because it leads to success more quickly.

Finally, what are the next goals for the brand?

We want to expand our reach even further, especially in amateur football. In markets where we have so far only been active through professional engagements, we want to penetrate deeper: Denmark, Poland, Switzerland, and of course, Germany. In Germany, sales remain the clear number one priority; we are tapping into more and more regions and continuing to expand the sales team.

In the professional sector, the hope is always that existing clubs will continue to develop. A good example is VfL Osnabrück. We already had them under contract in the 2. Bundesliga, then unfortunately, they were relegated shortly after, and now they are back. That is the ideal scenario! You do not have to convince a new second-division club; instead, you write great stories together with the club. At the same time, we are in talks with all realistic professional clubs from league one to league four that become available, and new engagements will follow in the near future.

Canadian athletic apparel brand Lululemon Athletica Inc. (Lululemon) reported its financial results for the first quarter of fiscal year 2026, ended June 4, 2026, revealing steady international growth alongside deceleration in its domestic market. As detailed in the official press release, total net revenue for the period reached 2.47 billion dollars, representing a 4 percent increase compared to 2.37 billion dollars in the first quarter of fiscal year 2025. On a constant dollar basis, net revenue increased by 2 percent.

The company experienced varying performance across geographic regions. In the Americas, net revenue decreased by 3 percent, or 4 percent on a constant dollar basis. Conversely, international net revenue grew by 22 percent, driven by a 16 percent increase on a constant dollar basis, highlighting robust demand in overseas markets.

Comparable sales and margin contractions

Total comparable sales, which encompass company-operated retail locations and e-commerce, rose by 1 percent during the quarter, though they declined by 2 percent on a constant dollar basis.

Domestic retail channels remained constrained, with comparable sales in the Americas declining by 5 percent, or 6 percent on a constant dollar basis. International comparable sales cushioned this performance, increasing by 13 percent, or 8 percent on a constant dollar basis. Within the international segment, Mainland China delivered a 20 percent increase in comparable sales.

Gross profit decreased by 3 percent to 1.34 billion dollars from 1.38 billion dollars in the prior year period. Consequently, gross margin contracted by 410 basis points to 54.2 percent. Net income stood at 195.05 million dollars, representing diluted earnings per share (EPS) of 1.69 dollars. This performance marked a decrease from a net income of 314.57 million dollars, or 2.60 dollars per diluted share, in the same period last year.

Product updates and strategic agility

The financial update coincides with organizational adjustments following leadership shifts. Lululemon interim co-chief executive officer and chief financial officer, Meghan Frank, noted that while the team executed with speed, the business is currently navigating headwinds that have prompted revisions to the full-year outlook. Frank stated during the investor call that spikes of negative media and social commentary regarding product compositions and proxy contests impacted traffic, predominantly in China and the US.

Furthermore, Frank acknowledged that certain product launches failed to meet expectations. To address these trends, the brand is accelerating its chase capabilities by 20 percent relative to last year to read and react faster to consumer demands, with product focus shifting toward outerwear and lounge fabrics.

Interim co-CEO, president, and chief commercial officer, André Maestrini, reiterated that teams remain focused on core priorities to reignite growth, specifically building upon successful product capsules across train, tennis, and run.

Inventory control and store network development

Lululemon ended the first quarter of 2026 with 1.51 billion dollars in cash and cash equivalents, and maintained 593.60 million dollars of available capacity under its revolving credit facility.

Total inventories at quarter-end grew by 2 percent to 1.69 billion dollars compared to the first quarter of 2025. However, on a unit basis, inventories decreased by 4 percent, indicating healthier stock management and reduced volume risk. During the period, the company allocated 358.30 million dollars to repurchase 2.20 million of its own shares.

The activewear retailer continued to grow its physical footprint, opening five net new company-operated locations during the quarter to bring its global store count to 816 locations.

Updated financial outlook

For the second quarter of fiscal year 2026, Lululemon projects net revenue to range between 2.45 billion dollars and 2.48 billion dollars, representing a decline of 2 percent to 3 percent. Diluted EPS is anticipated to fall between 1.76 dollars and 1.81 dollars.

For the full fiscal year 2026, the company lowered its guidance. It now estimates net revenue to land between 11.00 billion dollars and 11.15 billion dollars, translating to a flat to 1 percent decline compared to fiscal year 2025. Full-year diluted EPS is projected to be between 10.95 dollars and 11.15 dollars.

US footwear group Caleres has announced its financial results for the first quarter of fiscal year 2026, ended May 2, 2026, posting net sales at the upper end of its guidance and recording growth across its brand segments.

Consolidated net sales for the period reached 666.60 million dollars, representing an 8.5 percent increase compared to the first quarter of fiscal year 2025. Excluding results from newly acquired footwear brand Stuart Weitzman, net sales stood at 622.70 million dollars, which marks a 1.4 percent increase year-over-year (YoY).

Jay Schmidt, president and chief executive officer of the US-based footwear group, stated that the results reflect the strength of the strategic growth vectors and broad-based momentum across the brand portfolio. Schmidt added that the performance serves as an encouraging first step toward a build-back year for the business.

Segment analysis and direct-to-consumer expansion

The Brand Portfolio division recorded a 20.6 percent increase in net sales compared to the prior year. When excluding Stuart Weitzman, organic sales for the segment grew by 5.8 percent. Within this division, lead brands continued to outperform, driving cross-category market share gains.

At Famous Footwear, the retail division of the group, net sales decreased by 2.5 percent compared to the first quarter of 2025, with comparable sales down 2.3 percent. Management noted that the performance occurred amid a softer consumer and macroeconomic backdrop, though the banner expanded its e-commerce channel and slightly increased its market share within shoe chains and children’s footwear.

Direct-to-consumer (D2C) channels remained a significant part of the distribution strategy, accounting for approximately 67 percent of total net sales during the 13-week period.

Profitability gains and balance sheet review

Gross profit for the quarter amounted to 315.50 million dollars, resulting in a gross margin of 47.3 percent, an expansion of 200 basis points compared to the previous year. Excluding Stuart Weitzman, adjusted gross profit was 291.2 million dollars, representing an adjusted gross margin of 46.8 percent, up 140 basis points YoY.

The Brand Portfolio segment achieved a gross margin of 49 percent, rising by 520 basis points, while Famous Footwear recorded a gross margin contraction of 150 basis points to 43.8 percent.

Net earnings under GAAP improved to 14.30 million dollars, or 0.42 dollars per diluted share, up from 6.90 million dollars, or 0.21 dollars per diluted share, in the first quarter of fiscal year 2025. Adjusted net earnings reached 12.70 million dollars, or 0.38 dollars per diluted share.

Financial outlook

For the second quarter of fiscal year 2026, Caleres expects consolidated net sales to increase by mid-to-high-single digits compared to the same period last year. Brand Portfolio sales are projected to grow in the mid-twenties percent range, while Famous Footwear sales and comparable sales are anticipated to decline by mid-single digits. Gross margin is expected to improve by 345 to 375 basis points, aided by tariff mitigation efforts, with GAAP earnings per diluted share projected between 0.32 dollars and 0.38 dollars.

For the full fiscal year 2026, the group forecasts total sales to rise by low-to-mid-single digits. Brand Portfolio sales are estimated to increase by low-double digits, while Famous Footwear sales are anticipated to drop by low-to-mid-single digits.

Consolidated gross margin is projected to expand by 220 to 260 basis points. Capital expenditures for the full year are planned at 50 million dollars to 55 million dollars, with GAAP earnings per diluted share estimated between 1.44 dollars and 1.69 dollars, and adjusted earnings per diluted share expected between 1.40 dollars and 1.65 dollars.

Is this the dawn of a new era for luxury? Faced with a marked slowdown over the past three years, the sector is trying to regain momentum by returning to fundamentals, streamlining portfolios and exploring new avenues.

Profits are down sharply for LVMH and Kering in 2025, and Burberry reported a net loss for its 2024/2025 financial year. The figures show a change in trend. The causes are numerous, including price increases that have tired customers, questions about product quality and a slowing Chinese market.

“Luxury, coming out of Covid-19, was boosted by revenge buying,” recalls Eric Briones, co-founder of the Paris School of Luxury, who has just published a book on the sector's transformation.

“When luxury was faced with this high demand, the artisanal model was undermined,” he says, citing subcontractor scandals in Italy. The Italian judiciary has been investigating major luxury names for two years over working conditions in sewing workshops, suspected of exploiting Chinese labour.

The demand boom was also accompanied by a price increase of up to 50 percent over three years for some brands, “without an increase in quality, or even with a decrease in quality,” he points out.

Price inflation, but also volume inflation: “There is a fundamental question,” explains Christophe Caïs, head of the luxury consultancy CXG. “How many bags can you sell globally before you become a little too present? We want to be exclusive and at the same time we want to do volume. At what point does this volume effect contradict your desire for exclusivity?”.

According to the consulting firm Bain & Company, the luxury market lost 20 million customers between 2024 and 2025, after having already lost 50 million in previous years.

After years of economic and geographical expansion for major luxury groups that have built themselves up as conglomerates, the time for rationalisation has come, specialists point out.

“There is a phase of refocusing on a form of portfolio coherence. We can decide to move away from or find a better partner for certain brands that are less part of a group's DNA,” analyses Léa Hubsch, a partner at the Kearney firm.

Experiential luxury

The global luxury giant LVMH, for example, recently sold the American brand Marc Jacobs after thirty years under its ownership. In January, it sold its Duty Free Shops (DFS) business in China.

On the side of the French group Kering, which is undergoing a major transformation, moves have also begun, including the sale of its beauty division to L'Oréal for four billion euros.

“This consolidation trend is set to continue, with conglomerates divesting their underperforming or strategically less important divisions to focus on their core businesses,” analyses the firm CXG in a recent report.

Another example is the acquisition of the Italian brand Versace by its competitor Prada for 1.25 billion euros in 2025. Other deals are expected, notably for the Italian house Giorgio Armani. In his will, the designer, who died last year, asked his heirs to sell his empire in the medium term to a luxury giant like LVMH or L'Oréal.

Within companies, rigour is the order of the day. Luca de Meo, the former head of Renault appointed to lead Kering last year, stressed during his strategy presentation in April that excellence must take precedence. This includes a return to fundamentals, store closures and a reduction in the number of product references for certain brands.

More broadly, industry specialists speak of a new luxury, one less focused on ostentatious products and more on the huge, fast-growing wellness market.

“Desire has shifted to the experiential: beauty; hospitality; transformative luxury,” says Eric Briones. Experts see the future particularly in wellness and longevity, with clinics worthy of luxury hotels. This is a sector where Kering has already begun to position itself, through a joint venture with L'Oréal announced a few months ago.

Victoria’s Secret has said that its nine director nominees have received approval from three independent proxy advisors in the run up to its annual shareholder meeting, to be held on June 11.

Institutional Shareholder Services, Glass Lewis & Co and Egan-Jones Proxy Services have all issued recommendations for shareholders to vote ‘for’ the director nominees, including independent chair Donna James.

The company said the backing “reaffirms that our board is best positioned to continue overseeing the successful execution of our ‘Path to Potential’ strategy and continued value creation for shareholders”.

The lingerie brand’s leadership has faced increased scrutiny in recent months from activist investor Brett Blundy, whose investment vehicle BBRC International owns a 12.9 percent stake in the label. Blundy’s campaign for representation spans back to 2023, however, the entrepreneur has since escalated his efforts in an effort to secure a seat on the board.

In response, Victoria’s Secret has doubled down on its transformation strategy under CEO Hillary Super, underlining its focus on long-term growth and board refreshment. The company has also reported a 152 percent total shareholder return since Super’s appointment in August 2024.

In its latest statement, Victoria's Secret further shared that the strategy was already “generating very strong results”, with Q1 2026 earnings having “exceeded both top- and bottom-line guidance”. “Our momentum is broad-based across categories, channels, and geographies, and this strength was reflected in the market’s overwhelmingly positive response,” Victoria’s Secret added.

The apparel, footwear and textile industries are bracing for impact as the evolving conflict in the Middle East reshapes the global economic landscape. According to the OECD’s latest “Economic Outlook,” a severe energy shock is driving up inflationary pressures and stifling global growth — factors that directly threaten fashion supply chains, manufacturing costs and consumer discretionary spending.

Two likely scenarios

Given the volatile nature of the crisis, the OECD has mapped out two distinct paths forward, both of which demand immediate strategic pivoting from fashion executives and supply chain leaders: In Scenario 1, a time-limited disruption, energy production and trade in Gulf economies would progressively return to pre-conflict levels starting mid-2026. This would allow disruptions to gradually unwind, though the immediate sting to margins would remain.

Scenario 2, a prolonged disruption, is more dire: Current disruptions to energy production and exports would persist well into 2027. This scenario would affect the garment and textile industry as it assumes sustained high energy prices, intensifying risks of supply chain shortages, and a tightening of global financial conditions that could freeze capital investment.

“The global economy entered 2026 with robust momentum, but the outlook has weakened significantly since the start of the conflict in the Middle East, with effects likely to be felt for some time. The longer the disruptions last, the larger the economic and social costs become,” warned OECD secretary-general Mathias Cormann at the launch of the Economic Outlook on Wednesday.

“Any fiscal support that countries provide in response to the shock needs to be targeted towards those most in need and temporary, to avoid a further increase in public debt and preserve incentives to save energy. More broadly, countries need to lay the foundations for stronger growth and productivity by improving the business environment, enhancing skills and unlocking the benefits of AI and other transformative technologies,” he added, noting that structural agility and smart technological adoption will be vital to weathering the storm.

GDP growth projections and inflationary pressures

For fashion brands, slowing GDP growth translates directly to tighter consumer wallets. The OECD’s projections suggest a stark divergence depending on how long the conflict will last: In case of a time-limited disruption scenario, the OECD projects global growth slowing from 3.4 percent in 2025 to 2.8 percent in 2026 before picking up to 3.1 percent in 2027.

Looking at G20 countries, only India, Indonesia, China, Saudi Arabia, Argentina and Turkey would be above that project global average with 7.6, 5.1, 5, 4.5, 4.4 and 3.6 percent, respectively in 2026 and further growth in 2027. In North America, the United States’ GDP growth is projected at 2 percent in 2026 before slowing to 1.8 percent in 2027; Canada’s at 1.2 percent in 2026 and picking up again in 2027 to 1.7 percent while Mexico’s would more than double from 0.8 percent to 1.9 percent in 2027.

In the Euro zone, growth is projected to remain modest at 0.8 percent in 2026 before picking up to 1.2 percent in 2027. Below that average are Italy, France and Germany with a projected GDP of 0.5 , 0.7 and 0.7 percent, respectively, in 2026, with a slight increase to 0.6 percent and 0.8 percent for Italy and France in 2027 and a moderate increase for Germany to 1.1 percent. The UK’s GDP is projected at 0.9 percent in 2026 and 1.1 percent in 2027.

Under the prolonged disruption scenario, global growth would slow to 2.1 percent in 2026 and 1.8 percent in 2027, “leaving a lasting mark on many countries, especially in Asia, Europe and developing economies most vulnerable to the energy and food price shock,” sums up the OECD outlook.

Inflationary pressures would rise in both advanced and emerging market economies with the energy shock leading to higher commodity prices. Indirect effects would boost prices in general, especially for agricultural inputs and food. “In the time-limited disruption scenario, annual consumer price inflation in the G20 economies is collectively expected to rise to 4.0 percent in 2026, from 3.4 percent in 2025, before easing to 3.1 percent in 2027 as energy and food price pressures fade. Inflation would rise significantly higher in the prolonged disruption scenario,” concludes the OECD outlook.

What does that mean for the fashion industry?

The fashion sector is uniquely exposed to the inflationary pressures detailed in the report. Energy shocks act as a double-edged sword for the textile sector as they affect production costs: Synthetic fibre production (like polyester and nylon) is heavily dependent on petrochemicals, making raw material costs highly sensitive to oil price spikes. Logistics and freight is another affected area: Shipping costs are already on the rise as global trade routes adjust to the volatility, threatening margin-starved retail brands.

The inflation’s ripple effect would be felt In the best-case scenario, annual consumer price inflation in G20 economies is expected to climb to 4.0 percent in 2026 (up from 3.4 percent in 2025) before easing to 3.1 percent in 2027. Under a prolonged conflict, inflation would spike significantly higher. Higher food and energy prices mean apparel brands will be competing fiercely for a smaller share of the consumer's wallet.

For fashion and textile insiders, the message is clear: the era of predictable supply chains is on pause. To navigate the remainder of 2026 and 2027, brands must double down on efficiency. This means accelerating the adoption of AI for demand forecasting, optimising inventory to avoid costly overstock, and diversifying sourcing destinations to mitigate regional energy dependencies.

The European circular fashion market could surpass the 100 billion euro (116 million dollars) mark by 2030. This figure, revealed this Thursday by the Fédération de la mode circulaire (FMC) and KPMG, demonstrates the economic power of a market that was once a niche but is now a priority for companies in the sector.

A massive economic impact

The projection of 100 billion euros for circular fashion in 2030 represents more than 58 percent of the current turnover of the entire European textile industry (170 billion, according to EURATEX data). The economic weight of the four pillars of circular fashion – reinvent, reuse, repair and recycle – therefore represents more than just opportunities; it represents the future.

Currently accounting for around 6 percent of the European fashion market, eco-designed products could reach a share of nearly 15 percent by 2030, driven by regulatory changes. They could generate around 71 billion euros on their own. As the FMC points out, the design phase determines nearly 80 percent of an item's environmental impact. This stage is therefore essential to ensure the large-scale development of repair, reuse and recycling models.

European legislation: a catalyst for investment

Above all, the report highlights the decisive role of emerging regulations in supporting demand and investment. The harmonisation of extended producer responsibility (EPR) schemes appears to be one of the most powerful levers for structuring the market.

Europe generates approximately 12.6 million tonnes of textile waste each year, but only about 20 percent is currently collected separately. By transferring end-of-life costs to producers, EPR helps finance the necessary infrastructure for collection, sorting and recycling. In addition, the digital product passport (DPP) and circular VAT projects are expected to increase traceability, transparency and competitiveness in the sector.

A strategic reorganisation of value chains

Supporting local repair and recycling services helps to strengthen the resilience of strategic textile supply chains and create long-term value. Mina Bishop, senior circular economy manager at KPMG, explains the importance of this transition: “For years, circular fashion was treated solely as a sustainability issue. Our study shows that it is also a strategic and industrial issue”.

Maxime Delavallée, president of the Fédération de la mode circulaire, confirms the key role of public institutions: “Our study shows that regulation can be a powerful accelerator for circular fashion.” He notes that appropriate tax measures, such as a circular VAT, would help make repair and resale more financially attractive, allowing the European market to capture a significant share of the 104 billion euros in opportunities identified for 2030.

Madrid – Following the presentation on Wednesday of Inditex's accounts for the first quarter of 2026, we now look beyond the record-breaking sales and profits. This analysis aims to understand exactly how the company has performed at the start of this financial year. The owner of Zara has begun the new fiscal year with a widespread improvement in its main economic indicators.

Firstly, looking at Inditex's sales results for the first quarter of 2026, the company achieved 8.8 billion euros (10.21 billion dollars), a +5.75 percent year-over-year growth. This figure represents the highest sales volume in its history for a first quarter. During the same period, from February 1 to April 30, the cost of goods sold reached 3.4 billion euros. This amount is also a record high for a first quarter for Inditex. However, it grew at a slower rate than sales, increasing by only +3.95 percent compared to the 3,262 million euros in the first quarter of 2025.

As a result of these developments, Inditex reported a gross margin of 5.4 billion euros at the end of the first quarter. This is also the highest ever recorded by the company for the first three months of a fiscal year. It represents a +6.92 percent increase over the 5 billion euros gross margin recorded in the same period last year.

To fully understand how Inditex's operational efficiency has improved, these indicators culminate in a gross sales margin of 61.2 percent. This key metric is an increase of 60 basis points compared to the 60.6 percent gross margin recorded in the first quarter of 2025, setting another record high for Inditex in a first quarter. The company has consistently delivered margins above 60 percent at the start of the year since 2022. However, it has not yet achieved this milestone for a full financial year. The last peak was at the close of the 2025 financial year, which Inditex completed with a gross sales margin of 58.30 percent, after reaching a high of 62.2 percent during the third quarter.

Increased supplier financing

Regarding working capital dynamics, Inditex finished the first quarter of 2026 with an increased inventory level of 3.8 billion euros (+0.55 percent). Simultaneously, the amount owed to the company from specific operations and/or franchisees decreased to 1.06 billion euros (-5.49 percent), while the amount the company owes its creditors, mainly suppliers, rose to 10.8 billion euros (+3.75 percent).

As a result, the company ended the quarter with a negative working capital of -5.9 billion euros. This figure represents a +7.85 percent increase from the -5.5 billion at the end of the first quarter of 2025. It is also +42.75 percent higher than the -4,173 million at the close of the last financial year.

Rounding out the main financial indicators for Inditex in the first quarter of 2026, operating profit (EBITDA) grew to 2.6 billion euros (+7.31 percent), with the EBITDA margin increasing from 28.9 to 29.3 percent. Earnings before interest and tax (EBIT) rose to 1.8 billion euros (+7 percent), with the EBIT margin moving from 19.8 to 20.1 percent.

106 fewer stores

Finally, regarding the evolution of its retail network, Inditex ended the first quarter of the year with a total of 5,456 stores. This figure represents a net closure of 106 stores over the past year, compared to the 5,562 stores it operated at the end of the same period last year. Of this net loss, only four stores were closed during this first quarter of 2026, considering the company ended its 2025 financial year with a total of 5,460 stores.

On a year-over-year basis, all of Inditex's chains have seen a reduction in their number of stores, with the sole exception of Lefties, which expanded its network to 217 stores (+8 stores). This contrasts with the net contractions in the retail networks of Zara, with 1,495 stores (-50 stores); Zara Home, with 376 stores (-12 stores); Pull&Bear, with 792 stores (-12 stores); Massimo Dutti, with 509 stores (-19 stores); Bershka, with 851 stores (-4 stores); Stradivarius, with 837 stores (-1 store); and Oysho, with 379 stores (-16 stores).

In this regard, Inditex notes that during the first quarter, optimisation projects were carried out across the retail networks of its various chains in 44 markets. These projects included refurbishments, relocations, new openings, and absorptions. The company is allocating the majority of the 2.3 billion euros in ordinary investments committed for 2026 to these initiatives, as announced last March during the presentation of the 2025 financial results. With these investments, Inditex aims to increase the productivity of its stores. Following its optimisation strategy, the company estimates a gross space growth of approximately +5 percent for 2026.

Italian fashion group OTB (Only the Brave) has acquired the remaining shares it did not already own in Viktor&Rolf. The Dutch fashion house is now fully owned by the Italian group, according to a press release. The financial terms of the deal have not been disclosed.

In 2008, the initial deal was signed between Viktor&Rolf and OTB. At that time, a majority stake of 51 percent was acquired. This was increased to 70 percent in 2019, with the remaining 30 percent split between the two founders, Viktor Horsting and Rolf Snoeren.

The duo will remain with the fashion house for at least another five years, which “confirms the central role of the two founders,” according to the statement. They will therefore continue as creative directors of the fashion house. The press release states that OTB and the designers intend to further develop the fashion house within the international luxury landscape. No further changes, apart from the shareholding structure, have been indicated. The deal does not appear to have any further direct impact on the Dutch fashion house's operations.

OTB acquires all shares in Viktor&Rolf

“It is our great pleasure to continue working as creative directors for Viktor&Rolf and to explore fashion as a testing ground for ideas and experimentation,” said Viktor Horsting and Rolf Snoeren in the press release.

“Viktor and Rolf are among the most visionary and influential designers in contemporary fashion. Over the years, we have built an extraordinary journey together, based on mutual respect, creative freedom and a constant urge to experiment with the most innovative forms of expression in contemporary couture. With this next step we are taking today, we are further strengthening our bond with a Maison that is truly unique in the international luxury landscape and continues to distinguish itself through its creativity, artistic research and cultural relevance,” said Renzo Rosso, founder and chairman of the OTB Group. The OTB Group is the parent company of Diesel, Jil Sander, Maison Margiela and Marni, among others.

About Viktor&Rolf

Fashion house Viktor&Rolf was founded in 1993. Viktor Horsting and Rolf Snoeren met at school in 1988 and founded the brand after winning an international competition. The duo is known for its avant-garde concepts that regularly blur the line between fashion and art.

British clothing retailer Seasalt has announced the closure of its four US stores just two years on from its expansion into the market.

The Cornish company confirmed the news to Drapers, to which it said it was instead looking to grow its portfolio of partners in the US and Europe in the second half of the year, and thus wished to invest “accordingly in this area of the business”.

The statement continued: “Therefore, in order to focus our efforts and resources on third-party relationships moving forward, we have made a business decision to close our four existing Seasalt stores in the US.”

After first announcing expansion plans in November 2023, Seasalt opened locations in Falmouth, Massachusetts; Ardmore, Pennsylvania; Portsmouth, New Hampshire; and Shrewsbury, New Jersey.

All sites shuttered on May 17, bringing to an end a rollout that had at one time been fairly ambitious. The company had previously been eyeing around 20 locations in the US over the course of three years.

It added: “We have taken significant learnings from our international trading to date and we are approaching the next year and beyond with confidence despite the ongoing economic headwinds.”

Seasalt continues to report “significant success in the US and Europe” through its partnerships with department stores and online retailers. Its international sales, meanwhile, make up 16 percent of, with the company aiming for that figure to rise to 20 percent within the next year, it told Drapers.

For now, its focus seems to lie in Europe, specifically Eastern Europe and Scandinavia. Earlier this year, CEO Paul Hayes confirmed plans to open three new stores in 2026, telling The Times that Seasalt had "built a very resilient business model" and was confident it could navigate this challenging period.

US apparel group PVH Corporation reported solid results for the first quarter of the 2026/27 fiscal year on Wednesday evening. However, management lowered its sales forecast for the full year due to the foreseeable negative impact of the war in Iran.

In the first quarter, which ended on May 3, group revenue amounted to almost 2.03 billion US dollars. This represented an increase of 2.1 percent compared to the same period last year. However, adjusted for currency fluctuations, revenue decreased by 2.3 percent.

Overall, the group exceeded expectations. According to the company, this was primarily due to growth in key categories for its two main brands in its own retail channels: namely denim and underwear at Calvin Klein, and sweatshirts and outerwear at Tommy Hilfiger.

Overall, Tommy Hilfiger's revenue increased by 2.8 percent (a 2.0 percent decrease on a currency-neutral basis) to 1.08 billion US dollars. Calvin Klein achieved an increase of 1.0 percent to 895.2 million US dollars, while on a currency-neutral basis, the label's revenue fell by 2.9 percent.

Middle East conflict impacts development in EMEA region

The individual market regions performed differently in the first quarter. The growth driver was the Asia-Pacific region, with a revenue increase of 10.0 percent (up 5.8 percent on a currency-neutral basis) to 387.0 million US dollars. In the EMEA region, which includes Europe, the Middle East and Africa, the group's revenue rose by 2.0 percent to 946.1 million US dollars. However, on a currency-neutral basis, it decreased by 5.3 percent. The company attributed the unexpectedly weak performance in the region to the “ongoing effects of the Middle East conflict and its broad macroeconomic impact”. In the Americas, revenue shrank by 0.9 percent (down 1.7 percent on a currency-neutral basis) to 602.9 million US dollars. Global licensing revenue fell by 7.0 percent to 89.1 million US dollars.

The gross margin remained unchanged at 58.6 percent compared to the same period last year. According to the company, a favourable product mix; the expected repayment of illegal customs duties; lower product costs; and positive currency effects offset the impact of higher tariffs and more extensive discounts.

The bottom line was a reported net profit of 88.0 million US dollars, compared to a loss of 44.8 million US dollars in the first quarter of 2025/26. However, adjusted for special items, particularly high impairment charges and restructuring costs in the prior-year period, net income decreased by 21.2 percent to 93.4 million US dollars. This was, however, still above expectations.

Management lowers its sales forecast

CEO Stefan Larsson stressed that the group had achieved the goals of its current 'PVH+' reform plan in the first quarter. However, the impact of the Middle East conflict had “put pressure” on consumers in the EMEA region.

In light of the resulting weaker outlook for this region, management revised its sales forecast for the current fiscal year downwards. It now only expects revenue to be on par with the previous year, after previously anticipating a slight increase.

The earnings forecasts, however, remained unchanged. The group therefore continues to expect an operating margin adjusted for special items of around 8.8 percent and an adjusted profit per share in the range of 11.80 to 12.10 US dollars.

US apparel retailer Tilly's, Inc. has announced its financial results for the first quarter of fiscal year 2026, ended May 2, 2026, revealing sustained turnaround momentum and a third consecutive quarter of comparable net sales growth.

Total net sales for the period reached 124.70 million dollars, representing a 15.9 percent increase compared to the first quarter of fiscal year 2025. Total comparable net sales, which include both physical brick and mortar stores and e-commerce, grew by 22.9 percent.

Nate Smith, president and chief executive officer at the US-based brand, stated that the turnaround momentum which began in fiscal year 2025 extended their streak of comparable net sales growth to nine consecutive months. Smith added that returning to profitability is the foremost goal for fiscal year 2026, and the strong start provides a clear path to achieve it.

Channel performance and store network contraction

Net sales from physical stores rose by 12.1 percent to 96.30 million dollars. Comparable net sales from physical locations grew by 20.8 percent relative to the comparable 13-week period ended May 3, 2025.

Physical retail channels represented 77.2 percent of total net sales, down from 79.8 percent in the prior year period. The retailer ended the quarter with 220 total stores, marking a net decrease of 18 stores.

Net sales from e-commerce grew by 30.9 percent to 28.40 million dollars. Online sales increased their share of the business, representing 22.8 percent of total net sales compared to 20.2 percent in the first quarter of the previous fiscal year.

Second quarter outlook

For the second quarter of fiscal year 2026, ending August 1, 2026, the company estimates net sales to be between 154 million dollars and 160 million dollars, representing an estimated comparable net sales increase of 6 percent to 10 percent. Product margins are projected to be flat to up slightly compared to the record rate of the second quarter last year.

Net income is expected to range between 3.80 million dollars and 6 million dollars, translating to net income per diluted share between 0.13 dollars and 0.20 dollars, compared to 0.10 dollars in the second quarter of fiscal year 2025. The company anticipates operating 221 stores at the close of the second quarter.

US clothing rental platform Rent the Runway has announced its financial results for the first quarter of fiscal year 2026, ended April 10, 2026, revealing strong top-line momentum and narrowing losses.

Total revenue for the period reached 89.90 million dollars, representing a 29.20 percent increase year-over-year (YoY) compared to 69.60 million dollars in the first quarter of fiscal year 2025. This performance exceeded the initial guidance provided by the company.

The revenue growth was supported by a 70.40 percent YoY increase in add-on revenue, which also rose 11 percent quarter-over-quarter. Management attributed this improvement to elevated subscriber engagement following a significant inventory expansion and various digital product upgrades executed during the prior year.

Key subscriber metrics and profitability shifts The platform experienced an increase across its subscriber segments during the quarter. The total number of ending subscribers grew by 7.60 percent to 196,147, while ending active subscribers increased by 5.80 percent to 155,692, while average active subscribers grew by 12.20 percent to reach 149,744.

Gross profit rose by 6.40 percent to 23.30 million dollars, however, gross margin contracted to 25.90 percent, down from 31.50 percent in the first quarter of fiscal year 2025.

Net loss narrowed substantially to 18.90 million dollars, down from a net loss of 26.10 million dollars in the prior year period. Net loss as a percentage of revenue improved from negative 37.50 percent to negative 21 percent.

Adjusted EBITDA was negative 0.80 million dollars, an improvement from negative 1.30 million dollars in the first quarter of 2025. This resulted in an adjusted EBITDA margin of negative 0.90 percent, compared to negative 1.90 percent YoY.

Executive transition and board appointments

The financial report follows the recent appointment of Teri Bariquit as interim chief executive officer and president. Bariquit succeeded co-founder Jennifer Hyman, who stepped down after 18 years in the leadership role. Hyman will serve as an advisor to the firm until January 2027 to facilitate the transition.

Bariquit, who joined the Rent The Runway's board of directors in October 2025, previously accumulated 37 years of retail experience, including a tenure as chief merchandising officer at US department store chain Nordstrom.

The executive team has been further expanded with the addition of Paige Thomas as chief commercial officer and Dave Loretta as interim chief financial officer. Thomas previously worked at Nordstrom and Signet Jewelers, while Loretta served as financial head at The Honest Company and Duluth Trading Company.

Financial outlook

For the second quarter of fiscal year 2026, the platform projects revenue to fall between 91 million dollars and 95 million dollars, with an adjusted EBITDA margin expected between 5 percent and 8 percent.

For the full fiscal year 2026, the company reaffirmed its previous guidance. It anticipates double-digit revenue growth compared to the full year 2025, driven by product and inventory investments.

The full-year adjusted EBITDA margin is expected to land between 4 percent and 7 percent, while total rental product acquired is projected to be between 45 million dollars and 50 million dollars, down from 74.90 million dollars in fiscal year 2025.

The start-up Tilt, an e-commerce platform specialising in live shopping and live auctions, has reached a key milestone by announcing a 26 million dollar funding round on LinkedIn. While the funding intends to accelerate the platform's technological innovations, the core element of this announcement is the major and highly strategic participation of Vinted Ventures.

Vinted Ventures is the first industry investor from the re-commerce world to back Tilt. With this investment, the financial arm of the second-hand platform provides essential validation for this new vision of live selling.

The partnership between Tilt and Vinted Ventures is not coincidental but stems from a deep industry synergy. While Vinted has structured and democratised the global second-hand market asynchronously, Tilt aims to achieve a similar transformation in real-time through the video format.

In a post on LinkedIn, Abhi Thanendran, co-founder and CEO of Tilt, highlights the power of this alliance: “What Vinted did for the second-hand market, we are doing for live selling. The support from Vinted Ventures, our first strategic investor from the re-commerce sector, is the strongest possible confirmation that the future of the market is right here.”

Other investors, including Balderton Capital, Earlybird and Seedcamp, also participated in this funding round, as reported by Business Insider.

Destination XL Group (DXL), the US-based integrated commerce specialty retailer of Big plus Tall menswear, has reported its financial results for the first quarter of fiscal 2026 ended May 2, 2026. Alongside the earnings report, the company announced that its board of directors is reevaluating its previously announced merger with FullBeauty Brands.

The Canton, Massachusetts-headquartered retailer stated that while the board continues to believe in the industrial logic of the combination, the increasingly challenging consumer environment since the execution of the agreement in December 2025, combined with FullBeauty’s indebtedness, means the existing terms are no longer in the best interests of DXL stockholders.

“The DXL Board of Directors is committed to creating stockholder value and taking actions that are in the best interests of DXL and its stockholders,” said Lionel Conacher, the chairman of the board of DXL, in a statement. “Our objective is to determine the path forward that best positions DXL and its stockholders for future success.”

First quarter financial performance

During the first quarter, total sales reached 103.33 million dollars, down 2.1 percent from 105.53 million dollars in the first quarter of fiscal 2025. Comparable sales for the quarter decreased 3.8 percent year-over-year (YoY).

The company reported a net loss of 5.94 million dollars, or 0.11 dollars per diluted share, compared to a net loss of 1.94 million dollars, or 0.04 dollars per diluted share, in the prior year's first quarter. On a non-GAAP basis, adjusting for a normalized tax rate of 26% and adding back transaction-related costs, the adjusted net loss was 3.43 million dollars, or 0.06 dollars per diluted share. Adjusted EBITDA stood at a loss of 0.70 million dollars, down from a positive adjusted EBITDA of 0.20 million dollars in the first quarter of fiscal 2025.

The net sales decrease was driven by a 4.6 percent decline in brick and mortar store comparable sales, while the direct-to-consumer (D2C) business dropped by 1.6 percent. Traffic declines were noted as the primary culprit, though partially mitigated by gains in conversion and average order value. Performance slowed severely through the quarter; comparable sales fell 1.3 percent in February, 2.7 percent in March, and 6.8 percent in April. DXL blamed the April deceleration on macroeconomic factors including inflation, global conflicts, and rising fuel costs, as well as structural shifts from weight-loss medications.

Tech investments and weight-loss trends

The retailer continues to deploy its Fitmap personalized sizing technology, rolling it out to 188 stores during the quarter. Over 100,000 customers have engaged with the platform, showing higher conversion rates and lower returns. Additionally, DXL launched artificial intelligence initiatives to enrich product data attributes and improve digital discoverability.

Addressing the impact of glucagon-like peptide-1 (GLP-1) and similar weight-loss medications, DXL noted a meaningful portion of its base is utilizing these treatments.

Harvey Kanter, the president and chief executive officer of DXL, stated the brand is adjusting by widening assortments in smaller sizes. The group views the trend as a short-term hurdle but a long-term opportunity, as sizing fluctuations cause temporary shopping pauses before customers return to stabilize their wardrobes.

For the remainder of fiscal 2026, capital expenditures are projected to range between 8 million dollars and 12 million dollars. Store development will be tightly controlled, focusing on conversions of its remaining Casual Male XL storefronts into the DXL format, alongside routine portfolio maintenance and technological upgrades. DXL closed two stores during the first quarter, leaving its total fleet at 293 stores spanning 1.99 million square feet.

Madrid – Valencia-based startup Flipflow, a market analytics firm specialising in the retail sector, announced this week that it has successfully completed a three million euro funding round. This injection of funds will allow the company to accelerate the technological development of its solutions for the retail industry and its international expansion plans. The company is focusing its efforts on the US and the countries of northern Europe.

According to reports from local media and publications specialising in the Spanish startup ecosystem, such as RH Lab, Expansión and El Referente, the investment round was led by Spanish venture capital firm 4Founders Capital. The Barcelona-based investment firm specialises in early-stage technology startups. Its portfolio includes investments in emerging companies such as GuruSup, a Spanish platform for artificial intelligence agents for customer service and process automation; Vidext, a startup focused on converting text into AI-generated videos; and BCome, a Spanish technology platform that provides solutions and tools for fashion industry companies to measure and manage environmental impact data.

Alongside 4Founders Capital, both new and existing Flipflow investors participated in the round as “strategic investors”. These include Abac Nest; Acurio Ventures; Lanai Capital Partners; Angels Capital, the investment vehicle of Juan Roig, president of Mercadona; Mango; and Puig. Notably, Angels Capital, Abac and Lanai participated in the 900,000 euro round that the startup closed in late 2023. Mango invested in the company through a convertible participating loan via its accelerator, Mango StartUp Studio, in early 2024. Puig is also understood to be among the new investors backing this latest funding round for the emerging company. Puig would be familiar with Flipflow's operations, as Isdin, a Spanish dermatological products company in which Puig holds a 50 percent stake, is one of the startup's clients. The platform reportedly already provides its services to manufacturers and retailers such as Gucci, Nestlé, Unilever, L’Oréal, Isdin and Mango.

Centralised data analytics platform for retail industry companies

Founded in 2021 by the entrepreneurial trio of Ricardo García (CEO), Ismael Gandarillas (chief technology officer) and Mario Rodríguez (chief customer officer), Flipflow launched the first versions of its unified data platform for retail companies that same year. The platform has since scaled up, particularly after joining the Lanzadera acceleration programme in 2022, a startup accelerator created in Valencia by Juan Roig. Roig invested in Flipflow during its first funding round in 2023. This fundraising helped to support its growth into other strategic sectors of the retail industry, attracting interest from new investors such as Mango and now the Puig group.

Continuing this trend of growth and consolidation, the new funds raised in this round will be used to accelerate Flipflow's technological development and international expansion into the US and northern Europe. The startup, which already operates in Spain and Latin America, remains focused on its goal of offering retail companies a centralised platform to manage their commercial, marketing and product management operations. To this end, it has also evolved its artificial intelligence-driven data analysis engines from reactive analysis of company realities to the design of proactive solutions for businesses.

“Retail can no longer be operated with fragmented tools, manual analysis and large consulting expenses,” says Ricardo García, co-founder and CEO of Flipflow. In this context, “our vision is to build the intelligence layer that guides companies to make decisions autonomously and at the same speed as the market moves”. To achieve this, the startup states, “every day we ingest and process millions of market signals using massive crawling, proprietary AI models and normalisation engines that convert chaotic data into a single, coherent and usable vision”. It connects “information from e-commerce, marketplaces, pricing, content, reviews, competitors, prices, promotions and supply, allowing companies to see their business as a complete system, not as silos”. “The retail OS” is “where critical decisions are made and where competitive intelligence becomes a real advantage,” they maintain. In this new reality, “Flipflow constitutes the strategic infrastructure of modern retail: the system that integrates heterogeneous data, interprets it in a unified way and converts it into immediate action within increasingly complex organisations”.

In short, Flipflow is presented as “the central brain of retail,” a “SaaS platform and copilot that unifies disparate data from the retail ecosystem”. This data comes from “online, physical and global market channels, with maximum granularity and precision,” and is then “transformed into actionable decisions”. With this, “our goal is for brands and retailers to understand not only ‘what is happening’” within their companies, they add, “but what each team and person in the organisation should do now” to respond to the reality revealed by the platform's centralised data.

The US retail group Macy’s, Inc. (Macy’s) has reported positive financial results for the first quarter of 2026, driven by growth across all its brand nameplates. The performance has led the department store operator to raise its full year net sales, comparable sales and adjusted diluted earnings per share guidance.

Net sales for the first quarter increased 1.8 percent to 4.70 billion dollars, up from the same period last year despite the impact of previous store closures. Total comparable sales for the group rose 3 percent, driven by its go-forward business which grew 3.1 percent.

Tony Spring, chairman and chief executive officer of Macy’s, stated: “We’re off to a strong start to the year, exceeding expectations for the fifth consecutive quarter as our Bold New Chapter strategy continues to build momentum. Customers are responding – driving comparable sales growth at Macy’s and another standout quarter at Bloomingdale’s, underscoring its leadership in modern luxury.”

Brand performance and revenue streams

The company experienced gains across its entire retail portfolio. The core Macy’s brand recorded a 1.6 percent rise in comparable sales, lifted by a 2.4 percent increase at its Reimagine 200 locations.

The luxury division showed further acceleration during the quarter. Bloomingdale’s posted a 10.2 percent increase in comparable sales, marking seven consecutive quarters of growth for the banner. Meanwhile, beauty specialist Bluemercury delivered a 6.4 percent increase in comparable sales.

Other revenue streams rose 8.2 percent to 210 million dollars, driven by an 11.7 percent increase in credit card net revenues to 172 million dollars due to a healthy credit portfolio. This growth offset a 5 percent decline in Macy’s Media Network net revenue, which dropped to 38 million dollars due to the timing of advertising spend on a year-over-year (YoY) basis.

Gross margin and net income

The gross margin rate declined by 30 basis points to 38.9 percent. The group reported a GAAP net income of 63 million dollars, representing 1.3 percent of total revenue, compared to 38 million dollars in the first quarter of 2025. Adjusted net income reached 35 million dollars, up from 31 million dollars in the previous year.

GAAP diluted earnings per share (EPS) stood at 0.23 dollars, while adjusted diluted EPS came in at 0.13 dollars. Adjusted EBITDA reached 290 million dollars, representing 5.9 percent of total revenue, down from 304 million dollars in the prior year period.

Updated outlook

During the first quarter, Macy’s returned 50 million dollars to shareholders through dividends and repurchased 2.60 million shares for 50 million dollars. A regular quarterly dividend of 19.15 cents per share has been declared for payment on July 1, 2026.

Following the quarterly performance, the company updated its full year outlook on June 3, 2026. Annual net sales are now projected to be between 21.50 billion dollars and 21.75 billion dollars, up from the previous forecast of 21.40 billion dollars to 21.65 billion dollars. Full year comparable sales growth is expected to range between 0.5 percent and 1.2 percent, while adjusted diluted EPS has been raised to a range of 2 dollars to 2.20 dollars.

British activewear brand Aybl has become embroiled in a legal dispute between its founders and one of its largest shareholders.

Lewis Morgan, a co-founder of Gymshark who invested 7 million pounds in Aybl in 2021 in exchange for a 20 percent stake, is reportedly suing brothers Reiss and Kristian Edgerton over his departure from the business, according to The Times.

Morgan alleges he was removed from the company under unfair circumstances and claims his position as both a director and employee was terminated following a short-notice meeting.

High Court filings seen by The Times allege that changes to Aybl's corporate structure reduced the value at which Morgan could sell his shares, while Morgan further claimed he was pushed out after refusing to include part of his stake in a proposed public listing.

The Edgerton brothers have rejected the allegations, describing them as unfounded. They argue that Morgan's involvement in Dubai-based supplements and energy drink business Ownkind created a conflict of interest, claiming the venture competed with Aybl's expansion ambitions beyond apparel.

The legal dispute comes as Aybl continues on a rapid growth trajectory, with the athleisure brand recently reporting revenues of more than 72 million pounds for the 15 months to June 2025, while profit after tax more than doubled to 9.4 million pounds.

Online off-price fashion retailer BrandAlley has been acquired out of administration in a pre-pack sale, allowing the business to continue trading under new ownership.

Administrators from BDO were appointed to BrandAlley UK on 29 May before completing an immediate sale of the business and most of its assets to BrandAlley International Limited, a newly formed company described as unconnected to the previous owner.

The deal brings an end to a lengthy strategic review, which had been underway for several weeks following the appointment of advisors earlier this year. The company had initially been exploring a debt raise as it sought to address financial pressures despite remaining a sizeable player in the UK off-price market.

Founded in 2008, BrandAlley operates a members-only flash-sales model across fashion, beauty and homeware, working with more than 1,000 brands and offering discounts of up to 80 percent.

In a statement on its website, BrandAlley said the transaction secures the future of the business and that customers will see no disruption. Existing orders will be fulfilled as normal, while returns and refunds will continue to be honoured.

While the rescue preserves a significant portion of the business, it has resulted in job losses, according to various media platforms. Among BrandAlley's 163 employees, 88 have transferred to the new company, while 15 were made redundant upon administration. A further 60 employees have been retained temporarily to support the transition, with a total of 75 roles expected to be lost.

In its statement, the company said the sale marks “an exciting new chapter” and that it remains “business as usual” for customers.

Westminster City Council has said it will no longer pursue a judicial review of plans to pedestrianise Oxford Street, reducing the potential for a major legal battle over one of London's most significant regeneration projects.

The scheme, backed by London mayor Sadiq Khan, will see traffic removed from the area between Orchard Street and Great Portland Street, with the first section expected to become traffic-free later this summer. The project is being overseen by a mayoral development corporation, which transferred planning powers from the local authority to the mayor.

The decision marks a shift from the council's previous position following the Conservatives' return to control of Westminster earlier this month. The party had pledged to establish a legal fund to challenge the plans, yet legal advice indicated a judicial review would be unlikely to succeed and that any challenge would now be too late.

In a statement, the council said: “The advice we have is that a judicial review would be unlikely to succeed and that submitting a late claim for judicial review would result in refusal.”

Despite dropping the court challenge, Westminster said it remains concerned about issues including accessibility, bus routes and the impact on residents and businesses. The council confirmed it is exploring other legal and procedural options and that Swaddle has requested a meeting with Khan to discuss its concerns.

Oxford Street pedestrianisation has been debated for decades, and supporters argue it will help revitalise Europe's busiest shopping destination. Critics, meanwhile, have raised concerns around transport access, safety, servicing and increased pressure on surrounding roads.

France's fraud authority has issued two fines to Shein totalling over 22 million euros (25.56 million dollars), it announced on Wednesday. The authority cited failures related to product traceability, environmental claims, withdrawal periods and delivery times.

The institution, which reports to the French Ministry of Finance, has increased the total penalties imposed on the Asian fashion giant in France in recent years. These now amount to over 210 million euros in total.

The two latest fines were issued following a wide-ranging investigation into several e-commerce platforms, particularly non-European ones, including Shein.

The first fine, for 5.77 million euros, targets Infinite Styles Ecommerce Limited (ISEL), the company that sells clothing and accessories under the Shein brand.

The General Directorate for Competition Policy, Consumer Affairs and Fraud Control (DGCCRF) accuses Shein of failing to respect the 14-day withdrawal period for certain purchased products.

The DGCCRF also cited the omission of mandatory traceability information, such as the countries of weaving, dyeing and manufacturing for its garments. It also noted the failure to mention the presence of microplastics in fabrics. These are mainly found in polyester and are released into the water with every machine wash, which is a significant ecological problem.

Shein stated that the DGCCRF "confuses (...) the right of withdrawal with our more advantageous commercial returns policy". The company also cited a "technical incident" for the "temporary" absence of environmental information.

Furthermore, the DGCCRF fined another Shein company, Infinite Styles Services Limited (ISSL), 16.73 million euros. ISSL manages the marketplace, which is the online platform offering products from both Shein and its partner sellers.

The authority noted numerous breaches of consumer law. At the order confirmation stage, the unit price of each product is not provided. Delivery times, information on the identity of partner sellers and their contact details are also missing. This information must be provided on a "durable medium" to be retained by the customer.

Shein argued that this information is available in the customer's account.

Shein considers these sanctions to be "manifestly disproportionate and discriminatory", while minister of commerce Serge Papin has condemned the platform for "unfair competition".

The US has threatened 60 economies with new tariffs for failing to prevent imports of products made with alleged forced labour or for inadequately enforcing existing import bans. The Office of the US Trade Representative announced this late on Tuesday evening (local time).

Consequently, the European Union (EU), the UK and Switzerland, as well as countries in Africa, Asia and Latin America, Canada and China, can expect additional tariffs of between 10 and 12.5 percent. “It is unacceptable that our most important trading partners are doing nothing to prevent the import of goods produced using forced labour. This forces American workers to compete on an uneven playing field globally,” said Trade Representative Jamieson Greer, according to the statement. “We will no longer tolerate this inequality.”

Hearing deadline set for early July before new tariffs are due

The US Trade Representative is basing this on an investigation that began on March 12, as stated in the announcement. According to the statement, it was related to the “failure of various economies to enact and effectively enforce an import ban on goods produced using forced labour.” The tariffs are not scheduled to take effect immediately. Instead, objections can be raised until July 6, with a hearing scheduled for July 7.

China criticised the US action. The People's Republic has always opposed any kind of tariff measures, said Foreign Ministry spokesperson Mao Ning in Beijing. Tariff and trade wars are not in the interest of either side. Regarding the accusation of forced labour, Mao said that China rejects it. “There is no so-called forced labour in China,” she continued.

In the legal battle over his controversial tariff policy, US President Donald Trump achieved a partial victory in mid-May. An appeals court temporarily suspended a lower court's decision that had classified Trump's temporary tariffs on imports from around the world as illegal. Importers must now continue to pay the 10 percent levy for the time being.

Madrid – Following the publication of its first quarter 2026 results, Inditex has called its investors to the 2026 Annual General Meeting, scheduled for Tuesday, July 7. During the meeting, the appointment of José Ignacio Goirigolzarri Tellaeche as a new independent director on the Inditex Board of Directors will be proposed. Goirigolzarri is the former chief executive officer of BBVA and former executive chairman of CaixaBank.

According to information submitted by the Spanish fashion multinational to the National Securities Market Commission (CNMV), the Inditex Board of Directors agreed to convene the company's ordinary Annual General Meeting during its meeting last Tuesday, June 2, 2026. The meeting is scheduled for 12pm Central European Summer Time (CEST) on Tuesday, July 7. Shareholders of the Spanish company can participate both online and in person by attending the meeting at Inditex's headquarters in Arteixo, A Coruña.

Beyond these formalities, the meeting's agenda has been structured around a total of nine points. The meeting will begin with the approval of the individual annual accounts and management report for the 2025 financial year. This will be followed by the approval of the annual accounts and management report of the consolidated group; the approval of the Consolidated Non-Financial Information and Sustainability Report; and the fourth point, of particular interest to investors, will be the approval of the proposed application of the 2025 financial year's results and the distribution of dividends.

In this regard, and following what was previously announced by Inditex's management during the presentation of its 2025 annual results on March 11, the Board of Directors will propose a dividend of 1.75 euros per share to the Annual General Meeting, charged to the 2025 results. This amount is 4.16 percent higher than the dividend agreed for the 2024 results. It consists of an ordinary dividend of 1.20 euros and an extraordinary dividend of 0.55 euros per share. These amounts will be paid in two equal instalments of 0.875 euros per share. The first was paid on May 4, and the second will be paid on November 2, 2026. The second payment will comprise the 0.55 euros extraordinary dividend and the remaining 0.325 euros per share proposed as the ordinary dividend.

Renewal of the board of directors

Continuing with the agenda, the fifth item will be the renewal of the Inditex Board of Directors. This governing body currently consists of 10 directors. The re-elections to be agreed upon are: Marta Ortega as a proprietary director; Óscar García Maceiras as an executive director; Flora Pérez Marcote—Marta Ortega's mother—as a proprietary director; Denise Patricia Kingsmill as an independent director; Pilar López Álvarez as an independent director; and Belén Romana García as an independent director.

Amancio Ortega, Roberto Cibeira and José Luis Durán Schulz will not be part of this renewal and will remain in their current positions on the board. Rodrigo Echenique Gordillo, however, will leave the Inditex Board of Directors when his term ends on July 12 this year. To fill this vacancy in the Spanish fashion multinational's governing body, the appointment of José Ignacio Goirigolzarri Tellaeche as a new independent director will be proposed to the Annual General Meeting. The board will thus remain unchanged with a total of 10 directors.

A well-recognised figure in the Spanish economic and financial world, Ignacio Goirigolzarri stood out during the 90s and the beginning of the 21st century as one of the main executives at BBVA, where he was appointed chief executive officer in 2001. He held this position until he left the company in 2009, taking early retirement. However, this did not mark the end of his professional life. Goirigolzarri returned to the forefront of the financial world with his appointment in 2012 as executive chairman of Bankia. He led the entity following the departure of Rodrigo Rato and during the period of the bank's partial nationalisation by the state. This stage concluded in March 2021 with the merger of Bankia and CaixaBank, under the latter's brand, with Goirigolzarri appointed as the new chairman of the resulting financial entity. He remained in this position until his resignation was announced on October 30, 2024, effective from January 1, 2025. From that date, the bank has been chaired by Tomás Muniesa, as non-executive chairman, with Gonzalo Gortázar remaining as chief executive officer.

Re-election of Ernst & Young and approval of remuneration policy

Completing the agenda for the upcoming Inditex Annual General Meeting, following the item on re-elections and new appointments to the Board, the re-election of Ernst & Young as the company's auditor for the 2026 financial year will be addressed. The meeting will conclude with the proposal for the approval of the directors' remuneration policy for the 2027, 2028 and 2029 financial years. This will be followed by a consultative vote on the Annual Report on Directors' Remuneration for the 2025 financial year. Finally, as a matter of procedure, the agenda includes the granting of powers for the execution of all resolutions passed during the meeting.

Fine Chaos is closing five years after its launch and will celebrate one last time during Copenhagen Fashion Week.

The Danish fashion brand, founded in early 2021 by Ludvig Isaksen and creative director Marc Møllerskov, will cease operations in August. Isaksen announced the news in an email to FashionUnited.

“The vision we set for ourselves in 2021 was one of the most important things in my life, and I am proud of what we have built,” said the co-founder. “However, the numbers have caught up with us, and we have decided to end the project on our own terms and shape the exit ourselves – in the way we see fit.”

With its dark, foundational aesthetic, Fine Chaos has been a fixture at Copenhagen Fashion Week in recent seasons, also exhibiting at the Danish fashion trade fair CIFF. According to its website, the brand had its own store in Copenhagen. It was also available from various fashion retailers in countries such as Denmark, Austria, and Belgium, as well as in Japan, South Korea, and China.

The brand's own community always played an important role, whether at fashion shows; pop-up and store events; or at hanger parties, clubs and warehouse raves. It was seen as the brand’s “infrastructure” rather than an “extension”. This community will be celebrated at a final event on August 7, the last day of Copenhagen Fashion Week. The final sale, which includes the current spring/summer 2026 collection, has already started on the brand's webshop.

UK online retail group Boohoo Group plc, which operates as Debenhams Group, reported a return to growth for its first quarter ended May 31, 2026. The company experienced an acceleration in its multi-year turnaround momentum, with group gross merchandise value, or GMV, increasing by 0.5 percent year-over-year.

Trading during May was notably strong, achieving GMV growth of approximately 8 percent. This performance was primarily led by the Debenhams brand and PrettyLittleThing, alongside improvements within Boohoo, BoohooMan and Karen Millen.

“Debenhams Group has returned to growth, and Q1 marks the inflection point we have been working towards,” stated Debenhams Group chief executive officer Dan Finley. “Group GMV grew 0.5% year on year - with May trading particularly strong at around 8%, led by the Debenhams brand and PrettyLittleThing.”

Profitability and cost reductions underpin turnaround

Adjusted EBITDA margin expanded during the period, which resulted in a substantial increase in adjusted EBITDA.

The company is progressing with its transition to an asset-light operational model. All fashion brands under the group have transitioned to the marketplace model, with approximately 25,000 brands and partners now integrated into the ecosystem.

Outlook remains positive for fiscal year

The company expects lease costs for the current year to decline to 13 million pounds; these costs will further reduce to 6 million pounds once the vacant US property lease is exited. The remaining 6 million pounds in ongoing lease obligations will cover the fully automated Sheffield warehouse, the Manchester head office, and a small London footprint.

The board of directors expressed confidence in achieving double-digit percentage growth in full-year adjusted EBITDA from the 53 million pounds guided for fiscal year 2026 in March. Net debt to adjusted EBITDA is on track to fall below 1x in the current year, driven by trading cashflow and planned asset disposals. These divestments include the Burnley property and the US warehouse, both of which are scheduled for disposal in the current year.

Finley added that the financial turnaround was driven by warehouse consolidation, a comprehensive cost reset, and the rebuilding of every brand onto a single proprietary platform. The executive reiterated corporate guidance pointing toward double-digit adjusted EBITDA growth and free cash flow generation for fiscal year 2027.

Full-year financial results for the period ended February 28, 2026 are scheduled for release within the next two weeks.

Madrid – Spanish fashion multinational Inditex group reported its results for the first quarter of 2026 earlier today. The company, which owns chains such as Zara, Bershka and Massimo Dutti, completed the three-month period from February 1 to April 30 by recording its best first-quarter results in its history.

According to information submitted by the Spanish group's management to the National Securities Market Commission (CNMV), Inditex reported first-quarter sales totalling 8.75 billion euros (10.17 billion dollars). This amount represents a 5.75 percent increase from the 8.27 billion euros invoiced by the company during the same period in 2025. The group, chaired by Marta Ortega, has consequently delivered the best first quarter in its history, setting a new record for the first three months of a financial year. This is a very positive result, particularly as the company estimates that at constant exchange rates, sales would have seen even stronger growth of 8.8 percent.

In line with this strong sales performance, Inditex reported a net profit of 1.38 billion euros for the same period. This figure represents a 5.36 percent increase compared to the 1.31 billion euros in net profit recorded during the same period last year. It also marks another new record for Inditex for a first quarter.

Reactivation of growth

A detailed breakdown of how the company's different chains contributed to these total revenue and profit figures is not yet available. This information will be released on September 9 with the publication of the first-half results. However, the figures announced today clearly show a revival in Inditex's performance in both sales and profits compared to the latest financial data released by the Spanish fashion multinational.

Regarding sales performance, the 5.75 percent growth recorded at the start of the 2026 financial year significantly surpasses the 1.52 percent experienced during the same period last year. This growth is also higher than the 4.88 percent recorded in the third quarter, which was the highest of the entire financial year. Furthermore, it exceeds the 3.19 percent growth with which the company concluded the last fiscal year of 2025, achieving total sales of 39.86 billion euros.

Similarly, in terms of profitability, the 5.36 percent growth rate comfortably surpasses the 0.46 percent recorded in the first quarter of 2025 compared to 2024. It is, however, lower than the 12.77 percent growth seen in the fourth quarter of 2025. Inditex completed that year with a 5.84 percent increase in net profit, amounting to 6.22 billion euros.

Outlook for 2026

Looking ahead to the rest of the financial year, the initial estimate for the start of the second quarter shows sales at constant exchange rates between May 1 and June 1 maintaining a year-over-year growth rate of 11.5 percent. For the full 2026 financial year, Inditex reiterates its forecast of a stable gross margin (+/- 50 basis points) and anticipates a currency impact of -1 percent on sales.

The “Mould Crisis” of 2026 is a direct byproduct of the extended maritime detour around the Cape of Good Hope, which has become a semi-permanent fixture due to the 2026 Strait of Hormuz (SoH) closure and continued Red Sea instability.

What began as a logistical delay has evolved into a quality assurance nightmare, particularly for shipments originating in high-humidity hubs like Bangladesh, Vietnam and Indonesia. The Financial Times recently dedicated a specialised report (“The Cape Route Detour and the Microclimatic Risks to Global Apparel Intermediaries”) to the subject.

“The prolonged exposure to fluctuating maritime microclimates has turned what used to be a simple transit delay into a catastrophic cargo degradation issue,’ noted a senior supply chain analyst in the report. “We are seeing unprecedented volumes of inventory compromised before they ever touch a European dock, forcing brands to choose between expensive localised salvage operations or complete stock write-offs.”

While the crisis is very real, statements from fashion brands and retailers remain scarce as companies navigate the reputational risks associated with damaged inventory. The fact is, though, that garment and textile supply chains are changing.

The “incubation” effect

Under ‘normal’ circumstances (meaning pre-SoH closure), a garment container from Dhaka to Rotterdam would take around 30 days. Current rerouting has pushed this to 45 to 55 days, equalling 50 to 88 percent longer journeys.

Mould spores (specifically Aspergillus and Penicillium) typically require 14 to 21 days of sustained high humidity to colonise fabric. Thus, the Cape route keeps garments in the “danger zone” for double the usual time, hence brands and retailers need to account for this critical window.

In addition, the longer routes mean that containers now cross the equator twice — once down the coast of Africa and once back up — where they experience extreme temperature fluctuations. This causes “container sweat” or condensation that drips from the ceiling directly onto cardboard cartons, compromising the silica gel packets inside within the first 15 days (the “sweat cycle”).

Two-fold risk mitigation

Logistics managers are currently using a two-tier strategy to mitigate these risks, both of which are eroding profit margins: One is the chemical and mechanical pre-treatment: Brands are mandating “anti-mould stickers,” which release chlorine dioxide gas, and VCI (Vapor Corrosion Inhibitor) liners for all maritime cargo. While the latter are safe for humans to handle when used as directed, breathing in chlorine dioxide gas or ingesting it poses severe health risks, thus increasing the risk to dock workers and anyone opening the containers and handling the products.

Then there is the top-off strategy: Brands are still shipping 80 percent of an order by sea, but because sea freight is quite unreliable, top off the remaining 20 percent via expensive air freight. This ensures that even if a sea container arrives with mould-damaged stock, the air top-off provides enough clean inventory to launch a collection on time.

Mould-prevention measures

While this may work in the short run, the industry is currently also rapidly pivoting toward active rather than passive protection.

Smart desiccants are packets with RFID indicators that change colour or signal when they reach 100 percent saturation. This way, logistics teams can identify at-risk containers before they are even opened. Smart desiccants carry a 5 to 15 percent markup on bulk packaging compared to standard or passive desiccants.

Pneumatic textile channels are integrating airflow structures into the garment folding process. This improves micro-climate stability inside the polybag during long transit. This can be initiated at the stitching stage itself, while robotic air blasts can be utilised through automatic folding machines. While initially incurring costs and reprogramming may be required, this strategy should amortise quickly.

Bio-based fungicides like peppermint or lemongrass-based coatings are applied during the finishing stage of manufacturing. This provides a natural, non-toxic barrier that inhibits spore growth for up to 90 days. Lemongrass is typically abundantly grown and found in tropical climates; it is cheaper than nanotechnology-enabled antimicrobial coatings, which are priced at approximately 19 to 38 US dollars per litre. These solutions are typically applied at a ratio of 0.2 to 1.35 percent of the textile’s dry weight.

The salvage industry

One industry’s loss, another one’s gain — a new sub-sector of logistics has emerged in view of the 2026 mould crisis: ozone remediation centres. Major ports like Antwerp and Felixstowe now have dedicated ‘garment recovery’ facilities where mould-affected shipments are treated with high-concentration ozone gas and UV light to kill spores before being re-packaged for sale. This process costs roughly 2 to 3.35 US dollars per garment, a cost most brands are now forced to build into their 2026 pricing models.

What is mould?

Fabric mould is a type of fungus (like the ones mentioned above) that feeds on organic materials within textile fibres like cotton wool and linen, but also synthetic fibres like polyester and nylon. It thrives in damp, dark and humid environments like sea freight containers. Mould may appear as ‘fuzzy’ or ‘slim spots in black, green, grey or white, depending on the type of fungus. A distinct, musty odour can confirm mould suspicion.

What is the difference between mould and mildew? While mildew is also a fungus, it is a surface fungus that stays flat and looks powdery. It is typically white, grey or yellow in colour and easy to wipe away. Thus, it is easier to eliminate and less of a threat. It can be stopped in most cases with a bit of bleach.

US lingerie retailer Victoria’s Secret & Co. exceeded its own targets and analysts' expectations in the first quarter of the 2026/27 financial year. The management subsequently raised its full-year forecast on Tuesday.

In the 13 weeks to May 2, the parent company of the Victoria’s Secret, Pink and Adore Me brands generated sales of 1.56 billion dollars. This represented an increase of 15.3 percent compared to the same quarter last year.

Sales in brick and mortar stores in North America rose by 11.3 percent to 802.8 million dollars. In direct sales, it grew by 8.4 percent to 469.4 million dollars.

Revenue from the international business increased by 44.9 percent to 287.4 million dollars. This was partly because sales in the European Union markets, previously managed in the direct sales segment, are now recorded in this division.

Lingerie retailer more than triples its operating profit

The operating profit rose to 76.3 million dollars, thanks to an improvement in the gross margin. According to the company, this was achieved through lower discounts and more efficient cost management. This was more than three times higher than in the same period of the previous year, when it was just 19.8 million dollars.

The bottom line was a net profit attributable to shareholders of 47.7 million dollars. The group had closed the first quarter of the previous year with a corresponding loss of almost 1.7 million dollars.

CEO Hillary Super praises “strong start”

In light of the latest figures, CEO Hillary Super spoke of a “strong start” to the new financial year. She emphasised that the group had exceeded its own expectations in terms of sales and profit. Double-digit growth for the Victoria’s Secret and Pink brands and in the cosmetics category contributed to this.

The recent development and “continued momentum” prompted the management to raise its forecast for the full year. The sales target, which was previously between 6.85 and 6.95 billion dollars, has been increased to between 7.03 and 7.13 billion dollars. The forecast for adjusted operating profit is now between 550 and 580 million dollars. Previously, only 430 to 460 million dollars had been forecast.

Madrid – Modelia, the Spanish international business-to-business (B2B) platform specialising in AI-generated image creation and management for the fashion industry, has announced the successful completion of a 1.2 million dollar seed funding round. The capital will be used to drive and further scale its operations, with the US currently standing as its largest market.

According to details provided by the Spanish tech platform, Modelia was founded in 2024 by entrepreneurs Iván Rodríguez, its chief executive officer, and René Haas, its chief technology officer. The company has closed a 1.2 million dollar seed round. The funding was led by Spanish investment fund Next Tier, which specialises in artificial intelligence start-ups. Other existing investors also participated, including US-based Rapid Scale and Spanish investment firm Archipelago Next. A group of business angels from the fashion sector completed the round. Notably, Nacho Rivera, co-founder and co-chief executive officer of fashion brand Blue Banana alongside Juan Fernández-Estrada, participated in a personal capacity.

“We are living in one of those moments when an entire industry changes its language,” said Iván Rodríguez, co-founder and chief executive officer of Modelia. He noted that the emergence of artificial intelligence “has made the ability to generate an image accessible to everyone.” However, “producing fashion images on an industrial scale, true to the garment, true to the brand, edition after edition, collection after collection, is still a craft,” which is where Modelia comes in. He argued that while “small brands cannot operationalise AI on their own,” large ones “cannot do it without governance or workflows.” In response to these challenges, “Modelia is the infrastructure that closes that gap,” working towards the goal of “building the standard on which fashion imagery will be produced for the next 10 years.”

“What convinced us about Modelia was finding a team that combines top-tier technical execution with a deep understanding of the sector they serve,” added Patricia Pastor, founder and manager of the Spanish fund Next Tier, which led the investment round. “In applied AI, every advance in large models does not narrow the space for vertical start-ups; it expands it.” She explained that, in this context, “the defensive moat is no longer in the model, but in the application layer, in sector-specific workflows and in the user experience.” Against this backdrop, “Modelia understood before anyone else that fashion brands do not want to choose between AI models; they want production results,” Pastor added. Based on these demands, she stressed, “we see Iván and René, along with their team, as the natural candidates to lead this vertical globally.”

New funds to scale international operations

Modelia's current clients include multinationals such as Desigual and All We Wear Group (AWWG), the parent company of fashion brands Pepe Jeans, Façonnable and Hackett. The platform has also established collaborations with key industry events like Mercedes-Benz Fashion Week Madrid, where it was an official sponsor during the last edition in March. This highlights the company's distinctly international profile. Its global footprint is further emphasised by its revenue figures. The management team noted that the United States currently accounts for 44 percent of its total global revenue, with Europe as the second-largest market at 27 percent. The remaining revenue comes from operations in Asia and other smaller markets. Over the last six months, Modelia's platform has processed more than 300,000 SKUs for brands from 26 countries.

Building on these metrics and with the support of the funds raised, the company aims to accelerate and scale its operations. To achieve this, Modelia will “allocate the new funding to completing its enterprise platform layer, with new capabilities for consistency, style control, business rules, approval workflows” and enhancing “collaboration between teams and APIs to integrate into the e-commerce processes of large brands.” The platform aims to strengthen “its commercial expansion in Europe and the United States, its two main markets,” focusing on securing new “enterprise accounts in the fashion sector” with its AI image generation services. These services offer companies “garment fidelity, automatic application of brand guidelines, reusable models, governance, team collaboration and traceability.” This allows “a visual campaign that traditionally required weeks of production, model coordination, photography, editing and channel adaptation” to be “produced in hours, maintaining brand consistency across collections, geographies and commercial formats.”

“We are in a moment of acceleration for the ecosystem,” said Rodríguez. “Each new generation of generalist models reduces cost and latency, unlocking enterprise use cases that were not viable months ago due to ROI.” He continued, “In this context, value shifts to the orchestration and application layer,” where “deciding which model solves each task, integrating it into real production flows and ensuring brand fidelity at scale” is key, and “this is precisely where Modelia operates.” He acknowledged, “we are aware of where we are,” and that Modelia is “a young company in a category that is still being defined.” However, “every advance in large models makes us stronger, not weaker, because our job is not to compete with them but to turn them into reliable industrial production for a brand.” He concluded, “we have the right team, technology, clients and investors to aspire to lead this category globally.”

Madrid – On Running, or simply On for true sports enthusiasts, celebrated the final of its ‘On Squad Race’ initiative in Barcelona this past weekend, featuring teams from France, Italy and Spain. The relay competition has been promoted globally by the brand. FashionUnited had the privilege of participating first-hand, an experience that provided the perfect backdrop to uncover the Swiss sportswear brand's strategy for Spain.

In just over 15 years, On has established itself as a benchmark brand in the sports world. This is a significant milestone for a company that has managed to compete head-to-head with historic giants like Nike and Adidas, whose origins date back over 60 and 75 years, respectively. On is undoubtedly one of the sportswear brands of the moment. From this position, the company is working hard to strike a difficult balance. It aims to continue growing as a premium brand while focusing on further consolidating its identity and, crucially, avoiding becoming a victim of its own success.

The story of falling into irrelevance is a familiar one in the fashion world. On is trying to shield itself from this fate by executing a meticulous and well-studied strategy. This strategy is applied both globally and is aligned with the respective roadmaps designed for each of its key markets, including Spain. This past weekend, Spain hosted the final of the 'On Squad Race' relay between France, Italy and Spain. This international initiative, driven by On, serves as a perfect example of one of the main pillars of its strategic plan and business model: community connection. This key factor currently acts as a unifying constant for all of On's operations and strategies. On this basis, the company outlines and executes its various 'country initiatives'. For On's roadmap in Spain, the Swiss sportswear brand is focusing its attention on the country's two largest cities: Madrid and Barcelona.

More community

As a core element of its business model, we begin our breakdown of On's strategic plan for Spain with its 'connection with the community'. This factor is "multidimensional" in both form and substance, as evidenced by the 'On Squad Race' relay competition. The initiative allows On to go beyond organising the usual running clubs promoted by sports brands in major cities. It offers a different experience to the same community of people interested in sports and running.

To clarify exactly how On is building and assembling a "community" through activations like this, we will use the first-hand experience from this past Friday, May 29, in Barcelona, during the 'On Squad Race' final between France, Italy and Spain. The competition features teams of four runners representing their broader running communities. The Barcelona final was held after preliminary qualifying rounds in each of these countries. The French team Jolie Foulée won, with the Spanish teams No Breaks Squad and Apalarun finishing second and third, respectively. With this result, the French team's runners emerged as the winners of the race, earning a spot in the grand final of this global initiative, which will be held in Los Angeles.

Through the 'On Squad Race', the brand has created a dynamic of healthy competition around a relay race. This allows On to connect with its target audience of sports and running enthusiasts, offering them a unique experience. It also helps establish connections and relationships that extend beyond the product and any commercial transaction. At the same time, On strengthens ties with its commercial partners and local running communities. Through them, it organises the events for the various races and finals taking place worldwide as part of this initiative, from Beijing to Los Angeles; Medellín; Tokyo; Rio de Janeiro; Sydney; Lima; Buenos Aires; Mexico City; and now, Barcelona.

“‘On Squad Race’ is a global series of activations centred around the running community, with a strong focus on community,” emphasises Antonio Melero, marketing director for Southern EMEA at On, during a conversation with FashionUnited just minutes after the Barcelona final concluded at the incomparable setting of Montjuïc castle. “The reality of running communities and ‘Community Cruises’ is that they are emerging very actively within the sports world, especially in major global cities, and brands obviously want to join this trend.” In On's case, we launched the 'On Squad Race' relay competition primarily because “we found it interesting to promote an activation that would bring community members together without necessarily establishing active, direct collaborations with them, and for them to unite simply for the sake of the activity.”

“The whole ‘Community Cruise’ concept, which also has a significant social component, is a fantastic phenomenon that is bringing young people closer to running,” adds Melero. “As a premium brand, we wanted to offer them something that truly fits their community positioning, so they could first enjoy the experience and then also use it as a vehicle to generate visibility.” From an internal perspective, the competition also allows On to “tap into the current fertile ground of ‘Run Cruises’ and the running community at a local level, especially in key cities, to fuel the running industry and rejuvenate it.” At a brand level, On was “interested in reaching a younger consumer and, as a premium brand, providing them with an experience very different from a typical race on an athletics track.” These two factors emerge as the main drivers that will clearly shape the Swiss brand's strategies in its commitment to building more community, both globally and in Spain.

Focus as a premium brand

Focusing on the specific keys of On's "country plan" for Spain, the first thing to highlight is its premium brand approach towards the consumer. On carefully maintains this through all its initiatives and executions as a sports brand, whether through activations like the 'On Squad Race' relay or its commercial activities. The brand admits this was a challenge, facing a price-driven market like Spain. However, they report a very successful performance despite maintaining a no-discount pricing policy and tight control over the brand's exposure in the multi-brand channel.

“In terms of positioning, we will never deviate one millimetre from being a premium brand, which means we operate in a more niche part of the consumer pyramid,” Melero points out. “In a market like Spain, which is very price-driven, knowing how to work it well means making certain decisions that, in most cases, involve giving up a large part of the distribution the market offers. We will not deviate from that,” he warns. This strategy, despite the risks, is clearly proving very positive for the brand. “Even playing the no-discount game and implementing other policies to guarantee this positioning, the market is responding very well. It was one of the big unknowns when you enter a very price-driven market as a premium brand, and you don't know how it will react. Fortunately, Spain is reacting very positively to our commercial strategy.”

New openings in Madrid and Barcelona

On has had its own store in Spain since November 2025, when its first store in the country opened at 17 Calle de Serrano in Madrid. This opening, in the heart of the Salamanca district, the capital's "golden mile," perfectly exemplifies the premium positioning strategy Melero detailed. On's marketing director for Southern EMEA also revealed the next steps the brand plans to take in Spain. Madrid and now Barcelona will be the locations from which it will seek to strengthen its operations in the country.

First flagship store on Paseo de Gracia in Barcelona

Starting with Barcelona, the choice of the city to host the 'On Squad Race' final between France, Italy and Spain is the "icing on the cake" for the brand's investments in the city in recent years. These investments include On's sponsorship of the last two editions of the Barcelona Marathon. The brand's growing presence in the city's sports scene complements the activities carried out from its head office in Barcelona. However, this contrasts with the lack of an On store in the city. The absence of a store is not for lack of trying, but due to the difficulty in finding a retail space that meets all of On's requirements for establishing a presence in Barcelona. On has confirmed to FashionUnited its plans to open its own store in the city. This store is set to be the brand's first flagship in the country, and they are currently waiting to find the ideal retail location for its opening. On emphasises that the location will definitely be on Barcelona's Paseo de Gracia.

As one of the "key cities" identified by On, a label also applied to strategic locations like Milan, Paris, London and Berlin, “in Barcelona, there has been an organic investment over the last three years that is generating very good results and performance. While it's true we don't have our own store yet, it's purely a logistical issue of not having found the location we want,” Melero explains. For the location, “our goal is Paseo de Gracia.” “Until we find the right place, we won't make the move, but the decision has been made,” as has the decision that Barcelona will be a “flagship location.”

Second store in Madrid

The store concept for Barcelona will therefore be different from the smaller "chapter store" model with which On entered Spain and Madrid, with the opening of its first store on Serrano last November. On is already considering reinforcing the operations of this establishment with a second, similar "experiential" store, which would be different from the "flagship store" model planned for Barcelona. This difference is due to On's outstanding performance in Barcelona, which is similar to that in Madrid, but achieved without even having its own point-of-sale to support it.

“We opened in Madrid with the ‘chapter’ concept, which is a more limited format, and with just that one store, things are going as well as in Barcelona, where we haven't invested yet.” From there, “we are already considering a second store in Madrid,” Melero reveals. This opening will align with On's strategic objectives for Spain, just as the first store in Madrid did. For that city, “it was very clear that Serrano had to be one of the main objectives” for the brand, “and it was.” “In Madrid, luckily, things came together very quickly and smoothly, but we still haven't reached the point of investing in Madrid as a city,” in the same way it is already being done in Barcelona. The city, compared to Madrid, “has evolved much more quickly” because “the brand structure is here,” and also because “we decided to bet” on making a series of investments that “have helped us a lot to create a footprint in the local community and with the local customer.” This influence has been capped off “after the investment of recent years with an event” like the 'On Squad Race' final. It will be crowned by the long-awaited On store on Paseo de Gracia.

Madrid – In one of the week's major business stories, Puig held its 2026 Annual General Meeting last Friday, May 29. The meeting proceeded as planned, with shareholders approving every item on the agenda. These items ranged from the approval of the group's financial and non-financial statements for the 2025 financial year to the renewal of its Board of Directors. During the meeting, the company announced the presentation date for its new strategic plan. It also issued a clear warning following the collapse of negotiations with The Estée Lauder: “Puig is not for sale”.

According to Puig's management, a qualified majority of shareholders in the Spanish multinational group approved all proposals presented by the Board of Directors during the Annual General Meeting. The agenda was structured around 13 points for discussion. The agenda began with the review and approval of Puig's annual accounts for the 2025 financial year. The Spanish company concluded the year with sales reaching 5.04 billion euros (a 5.26 percent increase) and profits of 617.10 million euros (a 13.74 percent increase). This solid performance in both revenue and net profit contrasts sharply with the company's negative stock market performance since its IPO. Shares closed last Friday with a cumulative drop of 34.16 percent, falling from their initial public offering price of 24.50 euros to 16.13 euros at the close of trading on Friday, May 29.

Beyond the approval of the agenda items, which was largely a formality given the Puig family's control over 93.21 percent of voting rights, a key moment was the address by Marc Puig, the executive chairman. He spoke to shareholders who attended the meeting exclusively online, with no in-person attendance. Puig used his speech to defend the recent negotiations with Estée Lauder, despite them ending without an agreement. He also reaffirmed the Puig family's commitment to the company and their decision to remain as reference shareholders. Finally, he clarified that the negotiation process with Estée Lauder does not imply that Puig is for sale; in fact, the opposite is true.

“Although these talks did not result in a transaction, they highlighted the strong recognition Puig has achieved in the sector,” stated Marc Puig during his address to the company's shareholders at the meeting. Elaborating on the reasons for the lack of agreement, he added, “the potential combination would have required aligning three key aspects of a possible merger: governance; business leadership; and economic considerations that correctly recognised the company's value and were fair to all stakeholders”.

“In any case, as has been made clear throughout this process, Puig is not for sale,” asserted its executive chairman, a member of the third generation of the founding family leading the Spanish group. “We have always maintained that the family is and will remain a long-term shareholder, and this would have been the case even in the contemplated business combination.” Looking ahead to the company's next chapter, he said, “we have a very exciting long-term project, with very well-positioned brands, a winning team, a very solid balance sheet, and a history of over 110 years that supports us”.

Approval of dividend and renewal of Board of Directors

In addition to the approval of the accounts, financial and non-financial reports, and the authorisation to grant “Class B” shares to executive directors as payment for the variable components of their remuneration, two other key points from Puig's AGM are worth noting. The first, following the agenda's order, concerned the approval and distribution of the dividend. The second related to the renewal of Puig's Board of Directors.

Regarding the first point, in line with the announcement made by Puig's Board of Directors last February during the 2025 results presentation, the AGM has approved a gross dividend of 0.42 euros per share, to be paid from the 2025 profit. This amounts to a total of approximately 617.10 million euros. The board has agreed to allocate 435.54 million euros as available funds, with 198 million euros designated as a voluntary reserve and the remaining 237.47 million euros for this year's dividend payment. This amount aligns with Puig's shareholder remuneration policy of approximately 40 percent of its net profit. The dividend will be paid to shareholders from June 17, with the final date to be eligible for payment being Friday, June 12.

Regarding the renewal of the Board of Directors, the AGM approved the re-election of eight board members: Marc Puig (executive director); Nicolas Mirzayantz (independent director); Daniel Lalonde (independent director); Ángeles García-Poveda Morera (independent director); Jordi Constans Fernández; Ioannis Petrides; Rafael Cerezo Laporta; and Christine Ann Mei (independent director). The appointments of Jose Manuel Albesa as executive director and Julie Van Ongevalle as a new independent director were also approved. Following the resignation of Josep Oliu, it was agreed to set the number of Board of Directors members at 13.

Additionally, among the items discussed at the AGM, the proposals that faced the most opposition from Puig shareholders were the approval of the company's director remuneration policy, with 31.37 million votes against, and the approval of granting Class B shares to executive directors, with 33.65 million votes against. This opposition was notably weak against the majority power held by the Puig family, representing only 1.51 percent and 1.62 percent of the total voting rights, respectively.

Presentation of new strategic plan on October 28

Looking beyond the Annual General Meeting, during which Jose Manuel Albesa made his debut before shareholders as Puig's new chief executive officer, the company reiterated its outlook for 2026. It expects to close the year “growing above the premium beauty market” with a stable adjusted EBITDA margin at the same level as the end of 2025. The company ended 2025 with an adjusted EBITDA of 1.05 billion euros (a 7.8 percent increase) and a margin of 20.7 percent. To reinforce these trends and build further momentum, the company has scheduled the presentation of its new strategic plan for October 28. This will coincide with the eventual celebration of Puig's first “Capital Markets Day”. The event was initially scheduled for April 16 and 17, then moved to April 14, and was ultimately postponed indefinitely following the start of negotiations with Estée Lauder.

“The leadership of this management team gives us the confidence to move further and faster, building Puig with greater scale and agility,” stated Jose Manuel Albesa. He was addressing shareholders about the management changes agreed upon last March, including his own appointment as the new CEO. “Over the last five years, Puig has been the fastest-growing multi-brand premium beauty company in the industry, significantly outperforming the global premium beauty market.” “We are not only growing rapidly, but we are also becoming a more balanced, global, and resilient company.” Building on these strengths after concluding its 2021 to 2025 strategic plan, the company is now preparing for its next phase of growth. To this end, “our teams have worked intensively on defining our new strategic plan,” which “was originally scheduled to be presented during our Capital Markets Day”. He added, “I want to take this opportunity to thank everyone for their patience and understanding regarding the event's postponement. I am pleased to confirm that our Capital Markets Day will be held on October 28 in Madrid.”

Regarding the new roadmap, Albesa elaborated, “without revealing too many details that we will save for the Capital Markets Day, I can say that the future involves scaling up what is already working. In short, it means consolidating our three-axis brands; strengthening our leadership in the ‘Niche’ segment; continuing to revolutionise ‘Prestige’ perfumery; and, beyond our core business, positioning ‘Derma’ as a new pillar of growth.” This will all be part of a new strategic plan, which will demonstrate that “we have full confidence in our ability to continue creating value while remaining true to what has always made us unique”.

From this same forward-looking perspective, Marc Puig noted during his speech, “what I see today is a company that is stronger than ever. Above all, I see a company with the confidence, ambition, and values needed to build for future generations.” He added, “as executive chairman, my commitment is to help protect this vision and guide Puig in its next stage, so that future generations inherit an even stronger, more admired, and more relevant company than the one we lead today.”

The Textile ETP Annual Assembly brought together over one hundred professionals from the textile industry at the Amsterdam Fashion Institute (AMFI) last week. Researchers, engineers, innovation managers and technology companies attended the event. It was marked by the challenges of an industry seeking to redefine its future amidst regulatory pressure, digitalisation and growing concerns about the sector's competitiveness.

Among the presentations and debates dedicated to the digital transformation of the European textile and apparel industry, one concept emerged as the central theme of the meeting: data. It was present in almost every speech. Data appeared not only as a technological tool but as the sector's new strategic raw material; a common language and the invisible infrastructure upon which a new industrial architecture is being built.

With different nuances, the message was repeated throughout the two-day event: under the idea of share and conquer, sharing to advance. The premise is as simple as it is ambitious. Only an industry capable of exchanging information in a structured way can build a truly competitive and sustainable long-term model.

System built on excess

For Lutz Walter, secretary general of Textile ETP, digitalisation cannot be understood solely as a lever for efficiency. In his view, it represents an opportunity to correct some of the structural inefficiencies of a model that for decades has been producing more than the market can absorb.

Every year, between 150 and 166 billion garments are produced worldwide, equivalent to about 20 pieces per person. However, only 30 to 40 percent are sold at full price. Another 30 percent end up in promotions and discounts, while up to 10 percent never find an end consumer.

The presentation by Ahmed Zaidi of Huubland Technologies offered a complementary perspective. He warned of the risk that the industry is focusing its efforts on optimising a model that is fundamentally broken. “The problem is that we are adding artificial intelligence to broken systems, without changing the system”.

The ultra-fast fashion company Shein is rarely used as an example in the fashion industry. However, in the context of Textile ETP, it appeared on several occasions as a case study for a very specific reason. It exemplifies what happens when a supply chain operates constantly fed by shared information, working on real-time data streams.

Zaidi argued that the competitive advantage of this model lies not only in speed or technology but in the continuous exchange of information between all links in the supply chain. This is something much more complex to replicate in Europe. The result is reduced production times; flexible factories; reactive systems; and immediate access to demand data. This allows for more precise production adjustments and a move towards on-demand models. However, this format has only worked in China; they themselves tried to clone it in Brazil without success.

The main obstacle, however, remains cultural. Many brands continue to view data as an asset to be protected even from their own suppliers. This attitude limits collaboration and hinders the construction of truly agile supply chains.

Data spaces

The key is to share the right information, at the right level of complexity, in a controlled environment.

This was explained by Dena Arabsolgar of Syxis Innovation Hub. She presented European data spaces as an architecture designed to facilitate the secure and governed exchange of information throughout the value chain, without companies losing control over their own data. Each organisation retains its own systems and information bases, while a network of connectors allows everyone to communicate with each other without needing to centralise the data in a single location.

The gap between the discourse on digitalisation and the reality of many factories was made clear in the presentation by Gilberto Loureiro, co-founder of Smartex, based on his experience in Asia. Many processes still rely on manual fabric inspections. “When you visit a textile factory in Asia, where almost 85 percent of the world's textiles are produced, you travel twenty years into the past,” Loureiro summarised.

“Inefficiency has become the norm.” In many factories, data is still recorded with pen and paper. It is difficult to imagine truly agile supply chains or future tools like the digital product passport if the technological reality at the source of the chain is ignored. Looking the other way would be, as Zaidi said, “putting a supersonic AI rocket on a horse-drawn carriage”.

In response, Smartex has developed defect detection systems using cameras installed directly on circular knitting machines. The technology identifies manufacturing errors in real time, automatically stops production and prevents defects from spreading throughout an entire run. Loureiro also presented a QR code technology capable of withstanding industrial dyeing processes, which can facilitate supply chain tracking from the raw material itself. However, the market reception was limited, despite its minimal added cost of just one cent per kilogram. This highlights the ongoing difficulties many innovations face in achieving widespread adoption in the sector.

The technology, therefore, already exists; what is still lacking is the collective will to adopt it. He, like many other speakers, argues that as long as legislation does not drive progress, many of these solutions will continue to lack the necessary attention, even though they already anticipate and shape the future of the industry.

Structural barriers

Lutz Walter's diagnosis identified several persistent obstacles to the sector's digital transformation: a lack of interoperability between systems; the limited capacity of SMEs to invest in digitalisation; the uneven quality of available data; a cultural resistance to making information-based decisions; and a disconnect between European machinery manufacturers and the real needs of production.

To this list, Mario Jorge Machado, president of Euratex, added a decisive factor: structural cost disadvantages that erode European competitiveness. These include higher labour costs; environmental regulatory requirements; and rising energy prices, including the European Emissions Trading System, which adds around 40 euros per tonne of CO₂. A systematically higher cost of capital than in markets like China or the US is also particularly relevant.

“Europe is losing industry at a rate of around -4 percent per year,” warned Machado. “In ten years, we will have -40 percent less industry.” In this context, the Antwerp industrial summit, held two months ago with the president of the European Commission and several heads of state in attendance, was cited as a political turning point. For the first time in decades, industry is once again a priority on the agenda.

Circularity with an incomplete equation

Much of the conference was framed by the weight of incoming European legislation, a cross-cutting theme on the agenda. The sessions on the ESPR, the DPP, the AI Act and the Extended Producer Responsibility (EPR) frameworks underlined a shared idea: without structured information management, their effective implementation is impossible.

David Schoenwerth, policy officer at the European Commission's DG CONNECT, outlined Brussels' ambition to position Europe as an “AI continent”. This is supported by a Data Union Strategy designed to address three structural challenges: the scarcity of training data for AI systems; regulatory complexity; and the new geopolitical dynamics around digital sovereignty. Between 2021 and 2024, the Commission channelled 336 million euros into the deployment of data spaces, with an additional 100 million planned for later phases.

However, the contrast between the regulatory architecture and the industry's actual implementation capacity re-emerged in several presentations. Eugenio Alessandro Canepa of the Piacenza Group noted that the European framework still lacks clear operational guidance, particularly regarding responsibility for data capture and management along the value chain. Joffrey Delfgaauw, head of innovation at O’Neill Europe, summed it up pragmatically: “We talk about getting the data, but sometimes it simply doesn't exist.” In parallel, companies like Schijvens, represented by its CEO Jaap Rijnsdorp, are already developing internal traceability systems to bring production and the end-user closer together.

Workforce of the future

The gap is not only technological but also generational. Anne Schwarz-Pfeiffer, a researcher in smart textiles, pointed out that traditional academic cycles are too slow for an industry where knowledge in digitalisation and artificial intelligence is updated in just two or three years. “The problem is no longer what we teach, but how quickly we are able to adapt it”.

From the Fashion and Textile Innovation Lab+ at HOGENT University, Aleksandra Delac presented the Skills for Circularity project. This is a consortium of 23 partners in 12 countries that analysed over 300 job offers, nearly 200 company surveys and multiple industry interviews. The study points to a growing demand for hybrid profiles capable of combining textile knowledge with skills in data, sustainability and regulation. The biggest gap identified by companies is not technical but interpretative: translating regulatory complexity into real operational processes. The first edition of the training programme has already been launched and has a waiting list.

Decisive decade

Walter closed the conference with four possible scenarios for the European textile industry in 2035, built around two variables: where value is generated and where production is concentrated. The most favourable scenario, the “Digital Renaissance,” envisions a specialised, competitive European industry supported by highly digitalised regional value chains. A second model, the “European Mediterranean Digital Belt,” proposes production distributed between Europe and neighbouring countries, connected by shared information infrastructures.

The other two scenarios describe less optimistic trajectories: a progressive outsourcing of manufacturing to Asia or, at the extreme, a structural loss of industrial and technological capacity on the continent.

“The future is not written,” Walter recalled. “But the decisions are being made now, and they will define the next decade.” This idea summarises the spirit of the meeting: digital transformation is no longer seen as an isolated technological project, but as the factor that will determine industrial survival, investment attraction and regulatory adaptability.

The next Textile ETP annual conference will be held in France, maintaining the itinerant format that each year moves the debate to a different industrial ecosystem to connect with local players.

Paris - Amazon plans to invest more than 15 billion euros (17.49 billion dollars) in France over three years. The company announced on Monday "three new logistics sites" intended to create 1,000 permanent jobs. These will be in addition to the more than 7,000 already promised by the company in early May.

"Amazon is strengthening its presence (...) (in France) with three new logistics sites in Pays de la Loire, Ile-de-France and Nouvelle-Aquitaine," the e-commerce giant announced in a statement during the annual Choose France summit, organised by the Elysée Palace to attract foreign investment.

When contacted by AFP, Amazon specified that this would include one distribution centre and two delivery depots.

"These new investments reflect our confidence in the economic potential of the regions," said Jean-Baptiste Thomas, general manager of Amazon in France, as quoted in the statement.

"With the distribution centre planned for late 2027 in Ensisheim, Alsace, these four sites represent more than 400 million euros in investment and more than 3,000 permanent jobs," the company stated in its press release. These sites are part of the investment plan announced by Amazon in early May. This is its largest investment in France to date, totalling more than 15 billion euros by 2028. The company added that this will bring "the number of jobs created by the company to more than 8,000."

These job creations "will begin from 2026, with the upcoming opening of three distribution centres" in Illiers-Combray (Eure-et-Loir), Beauvais (Oise) and Colombier-Saugnieu (Rhône), the logistics company highlighted in early May.

The plan also includes developing cloud and artificial intelligence capabilities and consolidating the existing network. "Between 2019 and 2025, we opened two warehouses. In 2026, we are opening three, then two next year," summarised Thomas, general manager of Amazon in France, in an interview with Ouest-France on Monday.

Founded in 1994, the US giant established its presence in France in 2000. It was the third country it launched in outside the US, following Germany and the UK.

Facing competition from Asian platforms in recent years, the group claims to have invested "more than 30 billion euros in the French economy" since 2010. It also claims to have "more than 25,000 permanent employees spread across more than 35 sites."

US footwear group Genesco reported a 3 percent increase in net sales for the first quarter of fiscal 2027, reaching 487 million dollars compared to 474 million dollars in the first quarter of fiscal 2026.

The revenue increase was driven by a 2 percent rise in comparable sales, including a 3 percent gain in same store sales, which helped offset the impact of net store closures. Performance across the brand portfolio was mixed, led by a 6 percent increase at Johnston & Murphy, a 5 percent gain at Journeys and a 4 percent increase at Genesco Brands. Conversely, sales at Schuh declined by 5 percent, or 9 percent on a constant currency basis.

Gross margin for the quarter improved by 30 basis points to 47 percent of sales, up from 46.7 percent in the previous year.

Outlook raised following positive start

The group recorded a GAAP operating loss of 15.4 million dollars, narrowing from a loss of 28.1 million dollars in the same period last year. Adjusted operating loss was 23.9 million dollars compared to 27.9 million dollars in fiscal 2026, representing an adjusted operating margin loss of 4.9 percent of sales. GAAP loss from continuing operations was 14.8 million dollars, while adjusted loss from continuing operations stood at 22.7 million dollars, or 2.18 dollars per share.

During the quarter, the company opened two stores and closed 30 locations, ending the period with 1,208 stores. Genesco did not repurchase shares during the quarter and retains 29.8 million dollars under its authorized repurchase programme.

Following the first quarter performance, Genesco board chair, president and chief executive officer Mimi Vaughn expressed confidence in the company's strategic initiatives. Based on the results, the group raised its full-year adjusted diluted earnings per share outlook to a range of 2 dollars to 2.40 dollars, up from the previous guidance of 1.90 dollars to 2.30 dollars. Total sales for the full year are still expected to be down 1 percent to flat, while YoY comparable sales are projected to increase between 1 percent and 2 percent.

US denim and casualwear retailer The Buckle, Inc. (Buckle) has announced that net sales for the 13-week fiscal quarter ended May 2, 2026 increased 6.1 percent to 288.70 million dollars.

Comparable store net sales for the period increased 5.1 percent and the retailer also experienced positive momentum across its e-commerce operations, with online sales rising 2.8 percent to 47.70 million dollars compared to the first quarter of fiscal 2025.

Net income lifted by legal settlement

For the first quarter of fiscal 2026, the company posted a net income of 46.90 million dollars, or 0.93 dollars per share. On a diluted basis, earnings per share stood at 0.92 dollars.

This performance marks an increase from the first quarter of fiscal 2025, when net income reached 35.20 million dollars, or 0.70 dollars per share on both a basic and diluted basis.

Profits for the quarter were positively impacted by a legal resolution. As disclosed in the company filing with the Securities and Exchange Commission on April 1, 2026, the business entered into a final settlement agreement resolving interchange fee litigation.

The retailer received cash proceeds of 19.10 million dollars, net of legal fees, during the fiscal quarter ended May 2, 2026. The company recorded the settlement as a reduction to selling expenses for the period.

The German government-funded future project, “Textile Factory 7.0” (T7), launched almost a year ago. It is a collaboration between the University of Applied Sciences Hochschule Niederrhein (HSNR) and other stakeholders from research, business and local authorities. The ambitious goals were announced in July 2025 already: Production and business processes are set to become digital; robotics will be introduced and production will become circular.

Supply chains will also be made resilient, while the shortage of skilled workers and the need for an adequate energy supply will be addressed. In other words, the aim is CO2-neutral, circular and economically viable textile production in Mönchengladbach, a central location between Düsseldorf and the Dutch border that has textile production in its DNA.

Over a period of ten years, the HSNR will receive a total of 25 million euros in funding from the German government. Different institutes, universities and local associations are involved as project partners and have already founded a joint company, the T7 Management GmbH, to manage and structure the project after the funding period ends.

The project officially started in October 2025 and focuses on four core modules: On-Demand Manufacturing, MicroFactory Engineering, Digital Textiles and Biosphere. Workshops were held with various representatives of the textile industry at the official kick-off on 19th March 2026 on site, at business park Monforts Quarter.

Industry insiders shared their needs and wishlists so that these could be considered during planning and implementation and to find sustainable and economical solutions jointly. The project is now entering its operational phase. This means that the currently empty factory hall will be filled with most of the required machinery over the course of the year.

In the future, the creation of 3,000 jobs is planned in conjunction with a proposed industrial park. What specific knowledge and skills should potential employees possess? How will the integration of automation and human labour function? Where will artificial intelligence be used? FashionUnited discussed these and other interesting questions with Prof. Dr. Maike Rabe, who as head of HSNR's Research Institute for Textiles and Clothing is also in charge of the Textile Factory 7.0.

To begin: What is the current status of the project?

The project officially started in October 2025, and our “Technology Centre” at Textile Factory 7.0 is open since 1st January 2026. It consists of an area of approximately 2,000 square metres at Monforts Quarter in Mönchengladbach. This is an old industrial building that is now undergoing innovative reuse as part of the project. This is the first unique feature: moving away from new construction and soil sealing, and towards sustainable industry with its own power supply.

This is the site of the former C&A FIT jeans factory in Mönchengladbach, which had to close at the beginning of last year.

Textile Factory 7.0 is an independent project and not a continuation of the C&A FIT jeans factory. The Monforts Quarter was chosen as a historically significant location. As a former centre of textile machinery production, it is closely linked to Mönchengladbach's industrial textile history. The project's aim is to find CO2-neutral, circular economy solutions. This was also a factor in the choice of location, which is why an existing factory hall was deliberately selected and will be upgraded accordingly. Most of the machinery is scheduled to be procured by the end of this year and fully installed in 2027.

Up to 3,000 new jobs are planned. Could you elaborate on how these will be distributed across the various project phases and areas?

An industrial park is planned in addition to the technology centre at Monforts Quarter. It will have its own energy supply, optimal connectivity and digitalisation, and will use sustainable raw materials. A development team will continue to support and advise companies not located in the industrial park, carrying out application-oriented developments for them.

The industrial park is currently still in the planning phase. This is where the 3,000 new jobs will be created. The findings from the emerging Textile Factory 7.0 technology centre will be used to realise this industrial park. It will also continue to exist in the future to create new applications with the industry and strengthen the location's competitiveness. Around 50 jobs will be created in the technology centre itself.  

What specific knowledge and skills should employees have? Are entirely new job profiles emerging?

The project is developing solutions for the megatrends of defossilisation, robotics, automation, AI and biotechnology. The T7 team is already qualified to combine knowledge of textile and clothing technology with the ability to handle cross-disciplinary topics. In the future, people with interdisciplinary training will be needed. The traditional engineering profession will change; knowledge of AI, programming, robotics control and microbiology will be required.

Is this development also taken into account in training and further education modules?

The Textilakademie NRW is also a project partner, so there is a close exchange with vocational training, where the new job profiles can be applied in the future. Passing on the knowledge gained is also part of Textile Factory 7.0. The “Academy” module plans to transfer this knowledge into practice through workshops and training courses.  

How will you ensure that the workforce perceives increasing automation as a support rather than a threat?

The goal is high value creation through excellence in work. Demographic change, in particular, necessitates the use of robotics and automation to maintain economic output and thus jobs, even if certain manual tasks can no longer be performed. This will require qualifications so that employees can control the complex machines and monitor quality. Here, too, the “Academy” module is of central importance. Through early communication about the project, it will ensure that technological developments are perceived as progress and not as a threat.  

Regarding technology and digitalisation: in which specific process steps is artificial intelligence already being used productively?

Artificial intelligence will be used primarily in production planning, quality assurance and process optimisation. This includes AI-supported planning tools for micro-factory layouts, machine-vision systems for real-time fault detection and intelligent assistance systems for employees. The aim is to make production processes more flexible, efficient and data-driven, especially for small batch sizes and on-demand manufacturing. AI is also playing an increasingly important role in design, which we will not neglect in the project.  

Does the project use an open data format for the digital twin of textiles, allowing information to flow seamlessly between different stakeholders in the value chain?

Our aim is to connect the physical and digital worlds. We will cooperate with our partners on this to find the most practical solutions possible. The Textile Factory does not conduct basic research but rather tries to transfer good ideas from research into practice. What we consider suitable will be passed on through the academy to create the easiest possible access to the information.  

What does the energy concept for the planned T7 industrial park look like? Is the aim to cover production entirely with local renewable energy sources?

In the T7 technology centre, we are focusing on the electrification of heat processes, such as heat pumps for high-temperature processes, generating electricity from solar and wind energy and, of course, energy efficiency. In our technical centre, all systems and processes are controlled so that energy requirements can be recorded in real time and matched with the energy provided. This opens up new possibilities for industrial processes.

The T7 industrial park will, of course, be powered entirely by renewable energy. The specific implementation is part of our planning work. Our goal is for the T7 park to have its own energy concept, making it independent of large suppliers.  

What about competitiveness? How will the T7 concept compensate for Germany's high energy and ancillary wage costs, so that on-demand manufacturing can compete on price with imports from low-wage countries?

We assume that regulations in the European Union will change the conditions in the textile industry. The global, highly distorted supply chain will be transformed, at least in part, into a value-added cycle. This is precisely where technological and qualitative offerings are needed. On-demand with digital concepts, but without long delivery routes by air and social disruption, would be a step forward.

Society is currently flooded with a kind of “push demand”. Even if Chinese direct sales are presented as innovative and needs-based, they are in no way so. We will use automation to help keep production costs low in order to provide European solutions. The developed recycling processes and green fibre production will also help to save costs and simultaneously become more independent of international supply chains, creating a competitive advantage.

As part of science communication, consumers must also be reached to encourage more sustainable consumption and achieve a higher willingness to pay. The Textile Factory focuses not only on clothing but also on technical textiles, for example. These are not in direct competition with imports from low-wage countries, but their competitive conditions are to be strengthened through new production methods.  

How is the topic of recycling being addressed? Are there binding guidelines for material blends in the “Biosphere” module to ensure that the textiles produced can be recycled as a single material at the end of their life cycle?

Binding guidelines are not planned; we see ourselves as enablers, not preventers. The “Biosphere” module will recycle mixed materials and investigate various blend ratios. Based on these findings, recommendations can then be made for optimal material compositions with regard to recycling possibilities. At the same time, we are working to increase recyclability and the proportion of recycled fibres through technical and qualitative improvements. Legislative demands can only be met with limitations according to the current state of technology.  

What about market access and scaling? Are the micro-factory modules developed in the real-world laboratory already standardised enough for a medium-sized company to integrate them into its existing processes as a “plug-and-play” solution?

Plug-and-play is a good question – we should answer with plug-and-knit/weave/dye. Micro-factory concepts for fabric production and dyeing are already quite advanced, and we are building on that. We must also move away from conventional processes: away from piece goods and towards moulded parts.

What is the first, smallest step a traditional textile company can take today to become part of the 7.0 world? How does one get in touch?

Manufacturers and retailers can contact the development team directly by email with a brief description of the topic and their contact details: t7-factory@hs-niederrhein.de. The next step is to classify the request into one of the working areas of Textile Factory 7.0.

At present, we can address issues related to the project's objectives. Scientists are already on site to take on these tasks. These individuals are also setting up the technology centre. The project team selects and prioritises the topics.

What specific offers and forms of cooperation are available for interested companies?

The services offered include research, consulting, the planning of trials and, where appropriate, the execution of trials, up to the development of demonstrators or a maximum of a small series. The terms are discussed on a case-by-case basis. Textile Factory 7.0 is not conceptualised to manufacture products Therefore, there is no competitive situation. On the contrary, the focus is on supporting companies from industry and retail.  

As part of T7, are you working on a counterfeit-proof digital product passport that guarantees the sustainability of production to end consumers?

Not at the moment, but we are developing approaches to link product data, for example for digital product passports, with production data for end-to-end traceability. We first want to ensure that reliable data can be found in the DPP; this starts with a realistic ecological footprint.  

Last but not least: are there plans to transfer the findings from the Monforts Quarter to other textile clusters in Germany, such as the Swabian Alb or Saxony?

Yes, the findings should be transferable to other textile clusters. A transfer to other industries is also planned. For example, the findings gained in the area of microplastics are not only relevant in the textile context. Another field of application could be microplastics in connection with tyre abrasion. In summary: We are inventing Industry 7.0 in Mönchengladbach and thus the industry of the future. This vision needs to be propagated.

The interview was conducted in written format.

The UK government has introduced new guidance aimed at helping consumers safely shop second-hand fashion online, following a rise in counterfeit goods circulating across resale platforms.

Published by the Intellectual Property Office (IPO), the guidance is part of a wider campaign developed alongside online marketplaces including Vinted, and responds to growing concerns around organised counterfeit operations targeting the resale market.

New IPO figures show one in four UK second-hand fashion shoppers unknowingly purchased counterfeit items online in the past year. Nearly 60 percent reported negative experiences, including poor quality products, refund disputes and rapid deterioration, while 14 percent said the experience put them off shopping pre-loved as a whole.

The government said younger consumers are particularly exposed, with almost half of 18 to 24 year olds reporting encounters with counterfeit designer goods on resale platforms.

The guidance's launch follows a series of notable enforcement actions enacted across the UK. In March, Trading Standards seized more than three million pounds worth of counterfeit luxury goods from storage facilities in Bury, while another police operation in Rotherham uncovered over 1.1 million pounds worth of fake clothing and trainers, alongside suspected stolen goods valued at a further one million pounds.

In a statement, minister for online safety and intellectual property Kanishka Narayan said: “The UK’s pre-loved fashion trade is a booming market that’s good for bargain hunters and for the environment. That’s why we’re acting to help shoppers browse with confidence, and spot counterfeits before it’s too late.”

Ebay has named textile sorting technology company Trosort as the global winner of its 2026 Circular Fashion Fund, honouring the business for its AI-powered approach to improving secondhand clothing operations and textile recovery systems.

Selected from eight finalists across the UK, EU, US and Australia, Trosort was recognised for tackling scalable textile sorting infrastructure, a key circularity challenge for fashion. As part of the award, the company will have the opportunity to receive a 300,000 dollar investment from Ebay Ventures.

The Belgium-based startup develops semi-automated sorting systems designed to digitise textile processing and improve garment recirculation through reuse, repair, upcycling and recycling channels.

Now in its fourth year, Ebay's Circular Fashion Fund supports early-stage businesses focused on resale, repair, recycling, authentication and textile recovery technologies. Since launching in 2022, the initiative has supported more than 30 businesses globally, with total investment expected to reach 1.9 million dollars by the end of 2026.

“We’re honoured to receive this recognition from Ebay's Circular Fashion Fund,” said Achille Mathot, co-founder and chief executive of Trosort. “Textile sorting remains one of the fashion industry’s biggest infrastructure challenges, and we believe smarter, AI-powered systems can help unlock greater efficiency, transparency and garment recirculation at scale.”

Other finalists included Circular Sourcing, Ragpiq, Silhouet, Refabric, TRUSS, eComID and It Goes Forward.

Global media company Condé Nast settled an ongoing labor dispute, reaching a 400,000 US dollar settlement with three former employees, who were fired last year after a confrontation with the company’s head of human resources.

The three employees, including Jasper Lo, a New Yorker fact-checker, Alma Avalle, a Bon Appétit writer and producer, and Ben Dewey, a Condé Nast Entertainment videographer, were also reinstated at Condé Nast, but chose to resign rather than return to work, according to a statement from NewsGuild of New York, a union for news professionals. A fourth employee, Wired senior writer Jake Lahut, declined a lesser settlement offer and decided to continue his legal battle against Condé Nast.

The four unionized Condé Nast employees were fired last November, and another five were suspended, after taking part in a “march on the boss” movement the previous November. The employees reportedly wanted information regarding abrupt layoffs at several of Condé Nast’s brands, including Wired, and consolidation at Teen Vogue. The employees went to Condé Nast’s headquarters to speak to executives inside. 

The Wrap posted a video online of an interaction between the employees and Stan Duncan, chief people officer, which showed Duncan telling the employees that they could not gather outside his office and must return to work. 

Following the dismissal of the four employees and the suspension of the other five, the union immediately filed grievances, as well as Unfair Labor Practice charges at the National Labor Relations Board (NLRB). “We fought because we had to, because so much of an equitable future as workers and journalists depends on our combined efforts to resist inhumane treatment,” said Jasper Lo, formerly a senior fact checker at The New Yorker, in a statement from the NewsGuild. 

“There is no reason for us to feel disempowered by companies and work in the fear that they create. Not only can we stand up for what’s right, but we can also set the tone for what is acceptable in a workplace,” he added. In addition to the settlements, the five suspended workers have been awarded back pay for each day of their suspension and cleared of all wrongdoing on their disciplinary records, said the union. 

The union alleged that Condé Nast had acted unlawfully, contravened the “just cause” provisions outlined in employees' union contracts, and breached federal labour law in the process. “Our fight as a union is about more than a single contract; it is about ensuring workers’ rights to a just workplace,” said Susan DeCarava, president of The NewsGuild of New York, in a statement. 

“When employers attempt to undermine our rights, we will organize, fight back, and hold them accountable. This settlement sends a forceful message: workers united in solidarity have the power to push back against bully union-busting bosses and demand their workplaces be governed by respect rather than fear.”

London-based Goldfinch Agency is set to unveil the next phase of Von Dutch’s European expansion at Pitti Uomo this June, using the Florence trade show to introduce the brand’s new SS27 footwear collection alongside a preview of a developing women’s ready-to-wear line.

The launch marks a broader push to reposition Von Dutch beyond its trucker-cap heritage and into a more comprehensive lifestyle brand spanning footwear, apparel and accessories across the UK and Europe.

Goldfinch, which holds the men’s and women’s footwear licence for Von Dutch in the region, said the expansion builds on strong retail momentum in the UK. The brand’s retail footprint has reportedly grown from a five-store trial to around 300 stores in the past 12 months, while quarterly cap orders have increased from 400 units to 40,000.

Alongside the footwear launch, Goldfinch is also developing a women’s ready-to-wear collection with European apparel specialist Textiss, targeting selected European markets including Spain, Benelux, Scandinavia and Greece.

“Von Dutch has always had that rare thing - instant recognition and real attitude,” said Matthew Broughton, managing director of Goldfinch Agency. “The opportunity now is to take that energy and build the right product architecture for today’s market. Our success with Von Dutch in the UK has shown what is possible when product, retail and timing align.”

Broughton added that SS27 represents the next stage of turning Von Dutch into “a fuller lifestyle proposition” through footwear and women’s apparel partnerships.

Michelle Cameron, the founder of Indigenous Nations Apparel Company (INAC), claims that the ultra-fast-fashion giant Shein has copied 20 of her company’s designs, including the product imagery, to sell copycat products.

A member of the Peguis First Nation, Cameron founded her brand close to six years ago in Winnipeg, selling Indigenous streetwear at markets and conferences. According to media reports from CBC, WWD and Winnipeg CityNews, Cameron was first made aware of the copycat designs last week, when customers visiting the INAC store in Polo Park shopping center alerted her.

She immediately contacted Shein regarding the design breach, and reportedly received a response from the Chinese company a few days later, a link where she could file a complaint online. The INAC copycat designs have since been removed from Shein’s website, and the Chinese company has started its own investigation according to WWD. A Shein spokesperson said that “the products in question were being sold on Shein Marketplace by third-party sellers,” and added that sellers are required to “comply with company policy and certify that their products do not infringe third-party intellectual property.”

Cameron has yet to hear back from representatives from Shein and is reportedly looking into taking legal action, as she looks to spread awareness regarding Shein’s copying of her designs. As INAC is built around supporting Indigenous creators and community organisations, the most difficult aspect of the Shein situation for Cameron has been the price undercutting, with the fast-fashion platform selling their copycat designs at half of INAC's price.

The founder of INAC also alleged that Shein used their website imagery to sell its copycat designs, including a photograph of her own daughter modelling INAC products. One of the designs Shein is said to have copied was a shirt from INAC's Red Day Dress collection, which was designed to raise awareness of missing and murdered Indigenous women, girls, and Two-Spirit People. Red Dress Day is observed annually on 5 May. Another reportedly copied design features INAC's company name and the date it was founded. 

The dispute with Shein is not the first time that INAC has faced copycats, as the company recently discovered a seller on Amazon selling knockoffs of its designs. The online marketplace immediately removed the item in question for sale after receiving a cease-and-desist letter.

Shein has been frequently in the news these past few months for a myriad of reasons, from concerns about how it handles its EU customer data to accusations regarding the sale of contaminated products in the EU and US, selling childlike sex dolls, and a copyright trial with Temu in the UK over copyright infringement on an “industrial scale.”

FashionUnited had reached out to Shein for further commentary on the accusations.

This Thursday, the platforms Vestiaire Collective and Zalando announced a partnership that pushes the boundaries of the resale market. By partnering with a powerful e-commerce player, capable of selling pre-loved items in 14 European markets to millions of visitors, Vestiaire Collective is ushering second-hand fashion into a new era: that of the 'new new' and virtual mega-malls.

What is the 'new new'?

Coined by Maurane Nait Mazi, an expert in the second-hand fashion sector, the 'new new' is the perfect phrase to describe the shift of the second-hand clothing market into a commercial space very similar to that of new items.

This 'new new' market is being driven by partnerships between online resale specialists and powerful e-commerce platforms. Whether it is the collaboration between Vestiaire Collective and Zalando or the earlier one between Luxclusif and Farfetch, the result is the same. It leads to a commercial service and presentation of a pre-loved garment almost identical to that of a new piece. This means that thanks to these business-to-business (B2B) agreements, consumers can now switch from the product page of a new bag to that of a pre-loved one without even noticing the difference.

This consumer shift between new and second-hand did not wait for a polished presentation and a service modelled on new retail to happen. Recently, the platform Vinted indicated that by 2025, 88 percent of its members consult listings posted by individuals on Vinted before considering the purchase of a new item. These listings are often composed of amateur photos and brief descriptions. This behaviour sends a strong signal: new items seem to be becoming 'Plan B', while second-hand takes its place.

The unified ecosystem offered by Zalando or Farfetch is a response to this new consumption pattern. It erases the visual and logistical boundary so that customers can compare and buy new or pre-loved items interchangeably, without ever leaving the platform.

This dynamic is confirmed by industry players like Aurélie Baranes, co-founder of Jaiio, a company that already integrates its second-hand offering on platforms such as Place des Tendances and La Redoute. Contacted by email, the director states that Zalando's announcement is “not a revolution, but a very strong signal”. It proves that second-hand has moved out of its niche market to become a natural part of the overall shopping journey. “Customers no longer think in terms of new versus second-hand,” she explains. “They are primarily looking for the right piece, at the right price, with the right level of trust and service.” According to her, this collaboration is therefore excellent news for the sector. The more visibility and ease of access second-hand gains, the more it becomes a natural choice for a wider audience.

Virtual mega-malls

In 2026, the second-hand market remains fragmented, although it is dominated by Vinted in France. In a few years, however, the landscape could well be restructured around the super-platforms represented by Zalando or Amazon.

Regarding its partnership with Vestiaire Collective, Zalando writes on its website: “This partnership opens up the ‘Pre-owned’ category to Zalando's partner programme for the first time, marking Zalando's transition from a retailer to a retail enabler.” The company continues: “By offering a comprehensive e-commerce ecosystem for fashion and lifestyle across Europe, Zalando is opening up new opportunities for both its partners and customers, now also in the pre-owned space.”

Zalando, like some of its competitors, is now a technological and logistical infrastructure that other companies rely on to sell their own products. This evolution can be compared to that of Amazon, which has grown from a simple bookseller into the global infrastructure we know today. This is what the German company calls a retail enabler, and it is what makes it a kind of virtual mega-mall.

It is precisely this industrial power that solves the biggest nightmare of second-hand retail: the puzzle of the 'unique SKU' (Stock Keeping Unit). Unlike new items, where a single identification code refers to thousands of identical products, the pre-loved market requires managing millions of unique pieces, each with its own size, wear, and colour. Only the ultra-robotised supply chains and algorithms of these internet giants are capable of handling such complexity on a large scale. These online shopping centres therefore seem to be the inevitable launchpad the resale market will need to surpass the 393 billion dollars mark by 2030, according to ThredUp's forecasts.

Danish fashion brand Ganni has published its 2025 Responsibility Report, which concludes its Gameplan 2.0 (2023–2025) sustainability strategy and introduces Gameplan 3.0, the new framework that will guide its environmental and social commitments until 2028.

The document outlines unmet goals, structural barriers yet to be resolved and a recalibration of targets in a context that the company itself describes as a widespread “silent retreat” from sustainability promises in the sector.

Emissions reduction, with Scope 3 as the main challenge

In 2025, Ganni reduced its absolute carbon emissions by 32 percent compared to 2021, the baseline year. The total was 25,065 tonnes of CO₂ equivalent, down from the initial 37,036 tonnes. This consolidates a downward trend after the increase recorded the previous year.

The main challenge remains concentrated in Scope 3, which accounts for 98 percent of the total footprint. More than two-thirds of these emissions come directly from products, influenced by materials and manufacturing processes, while transport from suppliers adds an additional 13.5 percent.

The company attributes this reduction to a combination of several factors. These include a greater use of lower-impact materials; a slight decrease in production volumes compared to 2024; and the expansion of carbon insetting projects. This approach involves co-financing renewable energy facilities with suppliers within the supply chain itself.

The report, however, acknowledges a significant failure in this area. The goal of integrating seven suppliers into the programme was not met, with only four in Portugal and Italy participating. Ganni cites supply chain volatility, the geopolitical context and the structural demands of the model as reasons. The model requires production stability and supplier ownership of facilities.

Materials, the core of decarbonisation

The materials strategy continues to be the main lever for reduction within Scope 3. Through its internal Fabric Score system, Ganni classifies fabrics into three categories based on their environmental impact. The aim is to progressively shift its purchasing towards lower-footprint options.

In 2025, 85 percent of materials were already in the Preferred category. The mix is primarily composed of plant-based fibres (47 percent), followed by synthetics (26 percent) and animal-based fibres (20 percent). This reflects an advanced but still incomplete transition. Materials like cotton and polyester are still present, although increasingly in recycled or certified versions.

The company maintains its goal of reaching 100 percent Preferred materials by 2028. This commitment aligns with the goal validated by the Science Based Targets initiative, which sets a 50 percent reduction in absolute emissions by 2031 compared to 2021, following a methodological review that adjusted some intermediate milestones.

This progress coexists with a slower evolution of experimental materials. The so-called Fabrics of the Future, developed from waste or alternative processes such as olive oil residues, recycled leather or chemically recycled cotton, reached 4 percent of the total. This is up from 3 percent the previous year but still far from the 10 percent target for 2028. The report identifies their cost, limited industrial adoption and scaling difficulties as the main barriers.

The document also incorporates biodiversity as an emerging strategic line for the first time, although it is still in the definition phase. The company plans to complete its materiality analysis in 2027, at which point it will establish its impact priorities in this area.

Social dimension, focus on key suppliers and new partnerships

On the social front, Gameplan 3.0 reinforces the focus on female workers in the textile sector and continues the Living Wage Programme as a central part of its strategy. The initiative remains active with eight tier-one suppliers, although two have left the programme after their commercial relationship with the brand ended.

The goal of extending this standard to 100 percent of tier-one suppliers has not been met. In response, the company has refocused its strategy on core suppliers, who account for 80 percent of the business and where its influence is greater. Within this group, 46 percent already pay a living wage or receive supplements from the brand, with the goal of achieving full coverage by 2028.

This rethinking coexists with an expansion of social governance tools. A three-year partnership with UN Women stands out, focusing on mentoring, volunteering and financial support programmes. At the same time, Ganni is extending its social audits to Tier 2 suppliers, allowing for greater visibility beyond final assembly.

The company is also developing new direct listening mechanisms in the supply chain. These include a pilot in India with the &Wider platform, which incorporates anonymous worker surveys as a tool to assess working conditions and the impact of social programmes.

In parallel, it is advancing the development of the Digital Product Passport, a tool that, if successful, will integrate complete information for each garment from materials to end-of-life. This type of system is accelerating in the fashion industry in anticipation of the European Union's regulatory framework. The framework foresees its mandatory implementation in the coming years, which is leading companies to structure and digitise their product data in advance.

The US retail group American Eagle Outfitters (AEO) announced financial results for the first quarter ended May 2, 2026, delivering double-digit top-line growth and operating income ahead of guidance. Total net revenue reached 1.20 billion dollars, representing a 10 percent increase compared to the same period last year. Total comparable sales for the company rose by 8 percent.

The quarterly performance was driven primarily by the strong momentum of the group’s intimate apparel and lifestyle brand Aerie, which recorded a 25 percent increase in comparable sales. The brand achieved multi-channel growth and profitability, supported by its ongoing '100% Aerie REAL' marketing campaign. In contrast, results at the American Eagle brand were mixed, with comparable sales decreasing by 2 percent.

AEO executive chairman of the board and chief executive officer Jay Schottenstein stated that the quarter reflected the strength of the portfolio and the power of Aerie. Schottenstein added that team members are moving decisively to reignite the women’s business, strengthen product execution and position the brand effectively. He noted that despite continued consumer and macroeconomic uncertainty, the company remains confident in its ability to navigate near-term headwinds.

Gross profit and operating margins expand

Gross profit for the first quarter rose by 41 percent to 456 million dollars, compared to 322 million dollars in the prior year. The gross margin expanded by 860 percentage points to 38.2 percent.

The group posted an operating profit of 28 million dollars, compared to an operating loss of 85 million dollars, or 68 million dollars on an adjusted basis, last year. The operating margin stood at 2.4 percent, compared to a negative 7.8 percent, or an adjusted operating margin of negative 6.2 percent, in the same quarter last year.

Financial outlook for fiscal year 2026

The company provided guidance based on current estimates, factoring in an estimated tariff rate of 10 percent for second quarter receipts and 15 percent for the second half of the fiscal year. The guidance excludes any potential impact from International Emergency Economic Powers Act tariff refunds.

For the second quarter of 2026, AEO expects comparable sales to increase by a mid-to-high single digit percentage, while the gross margin is expected to decline year-over-year. Operating income for the second quarter is projected to fall between 45 million dollars and 50 million dollars.

For the full fiscal year 2026, the group projects comparable sales to rise by a mid single digit percentage, with the gross margin expected to increase YoY. Full-year operating income is forecasted to reach between 390 million dollars and 410 million dollars.

US specialty apparel company Gap Inc. has updated its full year guidance following its financial results for the first quarter ended May 2, 2026. The group reported a net sales increase of 1 percent to 3.50 billion dollars, while comparable sales rose 2 percent, marking the ninth consecutive quarter of positive growth.

Standout quarter for Gap brand

Performance across the portfolio was varied during the 13-week period. San Francisco-based Gap Inc. saw its namesake Gap brand deliver a 10 percent increase in both net sales and comparable sales, reaching 796 million dollars. The company noted this was one of the strongest performances for the brand in more than two decades, driven by culturally relevant storytelling in destination categories such as denim, fleece, and kidswear.

Old Navy, the largest brand in the portfolio by revenue, posted net sales of 2.00 billion dollars, up 1 percent compared to last year, with comparable sales also up 1 percent. Growth in denim, activewear, and kidswear was offset by weakness in women’s dresses. During an investor call, Gap Inc. president and chief executive officer Richard Dickson addressed the category challenges, noting that the group did not deliver the right fashion value equation for seasonal lines, with customer responses also weaker for swim and shorts.

Banana Republic net sales rose 1 percent to 431 million dollars, with comparable sales up 2 percent. Activewear brand Athleta continued its multi-quarter decline, with net sales dropping 12 percent to 270 million dollars and comparable sales down 11 percent. The brand is currently focused on rewriting its product assortment for the second half of the year.

Operating income and margin details

The company reported first-quarter operating income of 445 million dollars and an operating margin of 12.7 percent, while adjusted operating income stood at 182 million dollars, with an adjusted operating margin of 5.2 percent. Gross margin for the quarter was 40.5 percent, down 130 basis points compared to the prior year.

Store sales for the group increased 3 percent, while e-commerce sales decreased 2 percent, representing 38 percent of total net sales. Gap Inc. ended the period with 3,477 company-operated stores across approximately 35 countries.

Net income for the quarter reached 339 million dollars, or 0.90 dollars per diluted share. Adjusted net income was 145 million dollars, representing adjusted diluted earnings per share of 0.38 dollars.

Updated full year guidance

For fiscal year 2026, the company expects net sales to be up 1 percent to 2 percent year-over-year, compared to its prior outlook of flat to up slightly. The company raised its guidance for adjusted diluted earnings per share to a range of 2.30 dollars to 2.40 dollars, up from the previous forecast of 2.20 dollars to 2.35 dollars.

The full year outlook factors in a 50 basis point benefit to gross margin and operating margin from updated tariff assumptions under Section 122, translating to approximately 80 million dollars of net tariff relief.

For the second quarter of fiscal year 2026, the retailer expects net sales to be flat to down 1 percent year-over-year compared to 3.70 billion dollars in the prior year period. Gross margin is expected to be flat to down 50 basis points against last year's 41.2 percent.

Everlane founder Michael Preysman is preparing to launch a new fashion brand following the controversial sale of Everlane to Shein, according to Forbes.

The move comes after Shein acquired the US fashion retailer earlier this month in a deal that sparked backlash from customers and sustainability advocates, given Everlane’s long-standing positioning on sustainability.

Founded by Preysman in 2011, Everlane built its reputation on what it called “radical transparency”, publishing factory information alongside material, labour and transport costs for its products. However, the brand struggled to regain momentum following the pandemic, while mounting debt and declining sales reportedly pushed majority owner L Catterton to seek new investment or a sale.

The acquisition by Shein, a company frequently criticised over its environmental impact and ultra-fast fashion business model, was approved by the board of L Catterton, whose members include LVMH chairman and chief executive Bernard Arnault and his family.

In response, Preysman has launched a waitlist platform under the name 'Still Radical', outlining plans for a new venture built around similar sustainability principles, but without venture capital or private equity backing.

“The Everlane sale has driven questions and conversation around the viability of sustainable fashion in 2026,” a spokesperson for Preysman told Forbes. “Michael is betting that he can find a path forward informed by his learnings from the successes and shortcomings of the industry over the past decade.”

In a message to subscribers, Preysman added: “So we’re starting over. Same principles, but a new take. And this time: no venture capital, no private equity.”

The French brand Le Coq Sportif has signed a strategic agreement with Albion 1879 SL to drive its growth in the Iberian Peninsula. The focus will be on Spain and Portugal, aiming to accelerate its consolidation in the premium sport lifestyle segment.

The move follows the company's restructuring after its Spanish subsidiary entered insolvency proceedings. This process ended its direct operations in the country and led to a reorganisation of its local structure, including a redundancy plan for some of its staff. In this new phase, the brand is moving towards a more asset-light model, relying on strategic partners to maintain its international presence.

The agreement places Albion 1879 SL at the core of the brand's distribution, commercial development and expansion strategy in the region. With over three decades of experience in the sector, the company will manage a network of more than 400 active accounts and over 1,000 points of sale. It will articulate a multichannel model focused on selective retail and high-value spaces, alongside a curated multi-brand network.

Within this structure, El Corte Inglés remains a key pillar for visibility and volume. It is joined by other specialised operators who will help strengthen the brand's positioning in the Iberian market.

Both the French firm and its new partner agree that consumers in the region show a growing affinity for brands with identity, heritage and design. This is a space where Le Coq Sportif aims to consolidate its narrative in this new phase of growth.

US retail group Kohl’s Corporation (Kohl’s) has announced its financial results for the first quarter of fiscal year 2026, revealing a slight decline in top-line revenue alongside improved inventory management and lower operating expenses.

Net sales for the US company decreased 1.7 percent year-over-year (YoY) to 3 billion dollars for the 13-week period ended May 2, 2026, while comparable sales for the quarter fell 1.1 percent YoY.

Despite the revenue contraction, the gross margin of the department store operator rose by 4 basis points YoY to reach 39.9 percent of net sales.

Performance driven by expense control

Operating income reached 46 million dollars for the quarter, representing a drop from the 60 million dollars posted in the first quarter of the prior year. This brought the operating income margin to 1.4 percent of total revenue, representing a decrease of 41 basis points YoY.

The retailer posted a net loss of 14 million dollars, or a loss of 0.13 dollar per diluted share. This marks a marginal improvement from the net loss of 15 million dollars, or 0.13 dollar per diluted share, recorded in the same period last year.

Strengthened balance sheet, affirms outlook

Kohl’s chief executive officer, Michael Bender, expressed satisfaction with the start of the year, noting that key strategies are delivering consistent operational gains.

“Our key initiatives continue to drive progressive improvements to the business, resulting in our best comparable sales performance in over four years,” Bender said in a press statement. “In addition, we continue to manage the business with great discipline leading to strong expense management, cleaner inventories, and an improved balance sheet.”

The company reduced its inventory by 8 percent YoY to $2.9 billion. Operating cash flow resulted in a use of 74 million dollars, while borrowings under the revolving credit facility were eliminated entirely, down by 545 million dollars compared to the prior year.

Kohl’s affirmed its full year outlook for fiscal 2026. The firm forecasts net sales and comparable sales to range between a decrease of 2 percent and flat. Adjusted operating margin is projected to fall between 2.8 percent and 3.4 percent; adjusted diluted earnings per share (EPS) are expected to be between 1 dollar and 1.60 dollars.

The board of directors declared a quarterly cash dividend of 0.125 dollars per share on May 20, 2026. The dividend will be paid on June 24, 2026 to shareholders registered by the close of business on June 10, 2026.