N Brown has reported a recovery in sales from its first-quarter nadir, hailing a resurgence in apparel sales and a surge in demand for its new homeware range.

In a trading update for the six months to August 29, N Brown said that product revenue losses had stabilised to 21% in the first half of the year and flagged that 92% of all sales across its stable of brands now come through ecommerce. 

Group revenues recovered to be down 18%, from a 22% fall in the first quarter of the year. 

The struggling fashion and home brand said that in the second quarter of the year “revenue trajectory has continued to improve” from the “significant decline” at the beginning of lockdown. 

This stabilisation was driven by apparel sales, which N Brown said “continued to recover from mid-March levels” as well as “demand for home and gift, supported by the launch of our new Home Essentials brand on April 1, continued to be well above the prior year”.

N Brown said that it was trading in line with expectations and that the reduction of its debts “is under way and continuing”. 

Group chief executive Steve Johnson said: “It is encouraging to see a continued improving trend in trading following the sharp decline witnessed upon the initial impact of Covid-19, with trading in line with expectations.

“Home and gift sales in the first half of our financial year have been particularly strong and our fashion brands continue to recover, particularly JD Williams and Jacamo. We have accelerated our digital transformation and 92% of our product revenue is now digital.

“Our financial services cash collection rates have remained stable and we continue to offer support and flexibility to those credit customers who require it.

“We will continue to implement our refreshed strategy, and particularly mindful of an uncertain UK retail environment, we will continue to focus on cost control, deleveraging and cash generation.”