British footwear and accessories retailer Kurt Geiger, which this year celebrates its 60th anniversary, has reported a 31 percent increase in annual turnover to 329.5 million pounds, while EBITDA increased by 49 percent to 30 million pounds.
The strong growth was fuelled by global demand for affordable luxury, explains Kurt Geiger, as well as its continued international expansion and the record-breaking year for its handbags.
The retailer claimed that its handbag division had been a “huge driver for growth” in all markets, and handbag sales for the 12 months ending January 28, 2023, had risen to a record 91.6 million pounds, an uplift of 72 percent compared to the previous year.
Handbags were especially popular in the US, where they are now the brand’s best-selling category, while in the UK, handbags represent 50 percent of its UK sales.
Kurt Geiger has also added that growth is linked to the group evolving the brand into a full accessories brand, as in the last 18-month period, it has expanded into jewellery and swimwear.
The accessories brands' international expansion strategy has also led to significant increases in both turnover and brand recognition. This year, the company's wholesale turnover soared to 70.1 million pounds, marking a 62 percent year-on-year increase, while wholesale EBITDA more than doubled.
Kurt Geiger planning to open 6 stores in the US in 2024
Over the last year, the retailer has also opened 12 new stores in the UK, including its flagship store on London’s Oxford Street in September. The new concept store was envisioned by Kurt Geiger’s chief creative officer Rebecca Farrar-Hockley and brought to life by architect Stefano Ripoli, formerly of David Collins Studio to celebrate “London’s creativity and individuality”.
Kurt Geiger has also established itself with the US market and has become one of the fastest-growing accessories brands in North America, due to its presence in department stores such as Bloomingdale's, Nordstrom, and Dillard’s.
This year alone, US online sales increased by 171 percent year-on-year growth. To capitalise on growth, the footwear retailer is planning to open six new stores in the US over the next 12 months. These will add to the three stores it opened in Mexico with its local partner El Palacio de Hierro this year.
Kurt Geiger sales were uplifted by strong growth in handbags
Neil Clifford, chief executive of Kurt Geiger, said in a statement: "Our outstanding financial results this year are a testament to the hard work, dedication, and innovation of our entire Kurt Geiger family. We are celebrating our 60th anniversary this November and I am extremely proud of the exceptional growth we have achieved internationally this year, especially in North America, as we are now recognised as a truly global accessible luxury accessories brand.
“We firmly believe in bricks and mortar as the cornerstone of our omnichannel retail offering and following successful store openings across the UK and now North America, we will continue to open more stores in the US and across Europe in 2024.”
Kurt Geiger has more than 80 standalone shops across the UK and over 2,000 employees, as well as hundreds of locations in global department stores, including Bloomingdale's, Galleries Lafayette, El Corte Inglés, El Palacio de Hierro, Harrods, Selfridges, Dillard’s and Nordstrom. It also operates global e-commerce at kurtgeiger.com with a growing customer base across North America, Europe, the Middle East, China, and Australia.