Sales at preppy fashion retailer Jack Wills surged by 32% last year, when earnings fell as a result of investment.

Jack Wills generated revenues of £122m in the period to the end of January, the Sunday Times reported.

The retailer invested £20m to open 29 shops, including eight on the US east coast, bringing its store count to 80.

However the cost of the openings and creation of 1,238 jobs had an impact on profits. EBITDA for the year slipped from £15.9m to £11.8m.

Jack Wills will continue to open US and UK shops this year.

The retailer is 70%-owned by co-founders Peter Williams and Rob Shaw, and the rest is held by private equity firm Inflexion.

There has been speculation that the retailer may seek an IPO, but Williams played down that suggestion.