Hobbs’ annual losses up to over 15.6 million pounds

Hobbs noted bigger losses in 2014 than the year before – up to 15.6 million pounds - despite the slightly better sales. New management at the British retailer is having a tough time revamping the brand.

Hobbs has registered a 15.6 million pounds pre-tax loss in the year to January, 31, well ahead the previous year’s 14 million pounds.

As per documents filled with the Companies House quoted by the ‘City A.M.’, turnover rose from 115.4 million to 116.5 million pounds, mainly driven by an improved performance in the fourth quarter of the year, when its spring collection started to arrive.

The company, owned by private equity firm 3i, said sales had improved since it embarked on a turnaround in the second half, reports the ‘Telegraph’.

It is worth to remember that during the year, it completed a refinancing with its banks and has shut nine shops and concessions.

Chairman Phil Wrigley – former first executive at New Look - joined in January last year, aimed at embarking in a complete overhaul to bring Hobbs back to the top of the high street. However, his plans have proved to be expensive, with the firm spending over 800,000 pounds in redundancies at the headquarters and legal fees. Additionally, Hobbs has closed five stores and four concessions.