Dune Group reports 9.8 million pre-tax loss amidst challenging UK market

Dune Group Limited, the prominent footwear and accessories retailer, has reported a widened pre-tax loss of 9.8 million pounds for the 53-week period ending February 1, 2025. Despite achieving a modest turnover growth to 97.1 million pounds, the company continues to grapple with a "challenging and unpredictable" macroeconomic environment in the UK.

The group’s operating loss grew to 8.3 million pounds, fueled by rising cost inflation, unfavorable lease terms, and increased employment costs. To counter these pressures, management is pivoting toward a "smaller number of more productive stores" and doubling down on digital excellence. A notable growth was achieved by the e-commerce sector, where total digital sales grew by 8.7 percent, supported by successful category development in accessories—particularly high-end bags.

Despite the bottom-line deficit, the directors have maintained a "going concern" status, bolstered by a new 25 million pounds Asset Backed Lending facility secured in July 2025. This facility is intended to provide the necessary working capital through July 2028 as the brand attempts to "elevate its identity" through celebrity partnerships and sustainable product initiatives.

The company currently operates 48 stores and 76 concessions, a slight consolidation from the 50 stores held at the start of the previous year.