Feather & Black's accounts for the year to 27th September 2015 show a YOY narrowing of losses to £3.4m versus £4.2m in 2014. The retailer reports that its 2015 accounts also include a number of one-off provisions in relation to historical stock valuations (£0.8m), property dilapidations/impairments (£0.3m), and onerous leases (£1m).
Feather & Black management, in line with best accounting practice, has taken a prudent view on the cost of potential dilapidations and the impact of onerous lease terms continuing for the remaining terms on a number of retail stores. Operating cash outflow reduced in the year to £319,000.
Despite these accounting losses, Charles Wade, chairman, comments: “We are pleased with the continuing progress of the business. The improvement in the underlying performance underscores that the turnaround plan put in place by management is gaining increasing traction. Refocusing the business by reducing the physical presence and increasing the online offering is producing LFL store sales growth of 2.3% YOY.
"This is a very encouraging result in what continues to be a very tough environment for retail. With the goodwill provisions taken last year and the provisions outlined above this year, we believe that we have now cleared the decks and look forward to the company returning to profit in the coming years.”