Sosandar narrows losses despite fall in sales

Sosandar reported a £0.7m in pre-tax loss, down from £1.3m pre-tax loss in the first half of last year, “as a result of margin enhancement and continued careful cost management”.

The retailer sales fell to £16.2m down from £22.2m in 2023 as the “group continued to transition away from price promotional activity”.

Sosandar said its profit guidance remains unchanged but reduced its revenue expectation for the full year to £40m despite current trading being ahead of last year.

The retailer said trading in “October has started well across all channels, with revenue being ahead of last year which represents a substantial positive swing compared with H1, and a continuation of a strong gross margin as we head towards our seasonal peak”.

Ali Hall and Julie Lavington, co-chief execuives said: “The opening of our first three own stores marks a key point in the Company’s development, as we move towards becoming a true multi-channel retailer. We are incredibly proud of seeing the Sosandar brand on thriving high streets and are delighted with the reception we have received so far.

“The feedback on our product range and store environment from both new and existing customers has been fantastic, which shows the power of the Sosandar brand. We have hit the ground running with strong footfall and conversion, and have also seen a demonstrable uplift in traffic to our website in the areas where our stores are located.

“We remain committed to delivering in line with our growth strategy, focusing on margin enhancement to improve profitability, and we are already seeing the results of this in our performance. This has continued into October and we remain excited for what lies ahead for Sosandar.”