Debenhams and ex-Arcadia brands Dorothy Perkins, Burton and Wallis suffer losses in first year under Boohoo ownership

Collapsed department store chain Debenhams – snapped up by Boohoo in a £55m deal in January 2021 – booked a pre-tax loss of £11.7m between January 14, 2021 and February 28, 2022. It recorded sales of £56.9m, according to figures first reported by Retail Gazette. 

Dorothy Perkins slumped to a pre-tax loss of £15.9m on sales of £74.9m in the year to February 28.

Wallis made a pre-tax loss of £4m during the same period, on sales of £27.8m, while menswear specialist Burton recorded a pre-tax loss of £3.3m on sales of £31.3m. 

Boohoo snapped up the three brands in a cut-price £25m deal in February 2021 following the collapse of former owner Arcadia.

The etailer blamed the results on a slump in consumer demand and rising return rates during the periods of lockdown sparked by the coronavirus crisis.   

Back in May, Boohoo flagged that similar pressures had hit the wider group when it revealed plummeting pre-tax profits for the year to February 28.

However, the online operator did not break out the performance of its newly acquired brands at the time. 

Boohoo has transformed all four brands into online-only businesses, shutting dozens of shops on high streets across the UK. 

But it has since launched a dedicated Debenhams Beauty store in Manchester Arndale as it seeks to boost relationships with key cosmetics and fragrance brands.   

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