Retail news round-up: Jimmy Choo reports growth in revenue and Asda imposes harsher payment terms for clothing suppliers
Jimmy Choo reports increase in revenue
Jimmy Choo has recorded a 14.5% increase in revenue to £364m, with a 43% increase in operating profits to £42.5m, the BBC reported.
Men's shoes and accessories were a major factor for the increase in sales, accounting for 9% of revenue.
Online business accounted for 6% of revenue.
The increase in sales was also owing to opening new stores, totalling 150 outlets worldwide.
However, global like-for-like sales decreased 0.8%.
Asda to impose harsh payment terms on suppliers
Asda has warned that clothing suppliers may have to wait 90 days to receive payment, The Guardian reported.
Asda’s chief finance officer Alex Russo and chief merchandising officer Andrew Moore sent a letter to international suppliers warning them that they may now have to wait 50% longer to receive payment.
One Asda supplier said: “Asda already drives a hard bargain on price so this is all the more irritating in what are difficult trading conditions.
“We will have to wait another 30 days to pay our suppliers and staff. If someone delays paying us, how are we supposed to pay our bills?”
Federation of Small Businesses chairman Mike Cherry said: “Poor payment practices by big firms are responsible for killing off thousands of smaller businesses a year and threatening the existence of many others.
“This yet again highlights the need for a crackdown on late payments, which I hope will be top of the list for the government’s new small business commissioner.”