Lush’s group pre-tax profits jumped 22.5% to £26.1m in the year to June 30, 2012, and it has begun an in-store spa development drive in the UK.
Global sales jumped 20% in the period to £326m and UK like-for-likes increased 5%. Between year-end and April UK like-for-likes rose 4.3%.
Lush UK property director Paul Wheatley said in-store spas had helped the toiletries retailer achieve a “phenomenally successful” performance in its domestic market.
The retailer, which has 105 UK stores, plans to relocate existing shops to larger sites and open more spas in key locations, following the success of its Liverpool store, which it relocated last year.
“Liverpool has become one of our guiding lights,” Wheatley said. “The spas have given us the belief to look again at the UK. There is no limit in terms of the number of stores.” Lush plans to open a spa in Cardiff this year and will also launch its first spas in North America in the autumn in Philadelphia and New York.
The retailer’s store numbers last year rose by 13% to 822.
From July to the end of February Lush’s sales advanced 15% and it opened 62 stores, launching in South Africa and Lithuania. The retailer is on the hunt for a flagship location in London, and Wheatley hopes to open a shop in the next financial year.
He said stores are not the only focus for Lush, which aims to develop its online business. It hopes to boost the contribution of etail, which at present makes up 10% of sales, to comprise half of total revenue.
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