In The Style is reducing its workforce amidst financial challenges as it prepares to return to the London Stock Exchange.
- The fashion retailer reported a pre-tax loss of £2.6 million for the year ending 31 March, a reduction from a £7.7 million loss the previous year.
- Revenue dropped to £30.4 million from nearly £46 million, with UK sales declining from £42.7 million to £29 million.
- The company reduced its staff from 179 to 140 to cut operational costs through automation and eliminating task duplication.
- Founder Adam Frisby resigned in September, having earlier returned to the CEO role after a private equity takeover.
In The Style has announced a reduction in its workforce as it contends with falling sales figures. This development coincides with its imminent return to the London Stock Exchange, highlighting the company’s ongoing financial challenges. For the fiscal year ending 31 March, the retailer disclosed a pre-tax loss of £2.6 million. This figure, though substantial, marks an improvement from the previous year’s £7.7 million loss.
The company’s revenue experienced a significant decrease, falling from almost £46 million to £30.4 million. This decline was reflected in the UK market as well, where sales dropped from £42.7 million to £29 million. The reduction in revenue has necessitated strategic changes within the company, including a reduction in its employee numbers.
By cutting its headcount from 179 to 140, In The Style has taken steps to streamline its operations. The company has invested in automation and clarified its strategic priorities, aiming to eliminate the duplication of tasks as a cost-saving measure. These efforts are part of a broader endeavour to reduce operational overheads.
The restructuring of the company comes in the wake of founder Adam Frisby’s resignation in September. Frisby had previously exited the CEO role in December 2023 but returned when In The Style was acquired by private equity firm Baaj Capital. This move helped avert administration and pointed towards a path back to profitability.
In a social media announcement, Frisby expressed his departure with a ‘heavy heart’, highlighting a significant moment of transition for the company as it aims to regain financial stability and market presence.
In The Style’s strategic adjustments reflect its effort to regain financial stability amidst challenging circumstances.
