SRG sales drop

Profits were£36.7 million for the year to January 28, down from£39.7 million for the previous year. Sales dropped to£65.4 million for the same period against£72.3 million the previous year.

In a statement, the retailer blamed difficult trading conditions and the buy-out for disrupting its performance.

“Management have implemented a number of corrective actions given the market environment. In particular, the under-performing YOU brand has been discontinued and the previously discontinued own-label brands Tom English and Scott & Taylor were reintroduced successfully in the second half,” the retailer said.

SRG closed five loss-making stores and opened two shops during the year. It also revamped five stores.

Since the end of the financial year, SRG has had a management shake-up and subsequent refinancing by private equity owners Gresham and Barclays Bank.

In June, SRG appointed Anton Woodhouse as chairman and former BHS and Peacocks director Steve Gipson as chief executive. Paul Rivers has also been hired as financial director.

In October, SRG founder family member Brian Brick resigned as non-executive director. Gresham, led by former SRG chief executive Adrian Wright, bought SRG from Brick in 2005 for£30 million.

In its results, SRG said that since the financial year end, cash contributions have come from the sale of Chester Barrie, Woodhouse at Bluewater – as well as the closure of its remaining stores and the closure of Racing Green in Regent Street.

SRG plans to open 5 stores next year.