Oasis owner reports bigger loss after House of Fraser collapse
today Apr 10, 2019
House of Fraser’s collapse took a toll on several fashion companies which had concessions within its stores. Pretty Green, Office, Mulberry, Ted Baker and Quiz were some of its victims, and this week the owner of Oasis and Warehouse revealed the extent of its impact on its annual results.
Aurora Fashions Group said the department store’s demise had a £5 million impact on its earnings, partly blaming it for a £10 million increase in pre-tax loss to £39.9 million. Its four brands, Oasis, Warehouse, Karen Millen and Coast, all sell their goods via the retailer, which is now owned by Mike Ashley.
Whilst Aurora Fashions said House of Fraser’s new owner has guaranteed payment for the sale of all goods from the date of acquisition, it is “not possible at this stage to estimate whether any of [the preexisting] debt is recoverable.”
Revenues for the year ended 24 February 2018 increased by £2 million to £544.6 million.
Since year-end, Coast fell into administration and was acquired by Karen Millen in a pre-pack administration, saving its UK concession portfolio, online business and franchise stores. But the occasionwear brand’s standalone stores and international concessions were not included in the deal and have since closed.
All brands are run independently, and the firm is ultimately owned by failed Icelandic bank Kaupthing.
Copyright © 2020 FashionNetwork.com All rights reserved.