New Look reports revenue decline and widened loss for FY25

New Look reported a total revenue of 687.7 million pounds (928.8 million dollars) for the 52 weeks ended 29 March 2025, a decrease from the previous year. This decline was attributed to store closures and tough trading conditions, including a difficult macroeconomic backdrop characterized by persistent inflation and rising employee costs.

The company’s physical estate was reduced to 337 stores by the end of the period, down from 356 in the prior year. Financial performance was further impacted by unseasonable weather and storms, which disrupted seasonal product categories and suppressed high street footfall.

Profitability measures saw significant downward movement, with adjusted EBITDA decreasing to 18.5 million pounds from 46.7 million pounds in 2024. The company's statutory loss before tax widened to 77.2 million pounds compared to a loss of 3.7 million pounds in the previous year. This increased loss was driven by the reduction in year-on-year sales, higher administrative expenses, and an exceptional loss of 40.6 million pounds following the provisional liquidation of the Irish business, New Look Retailers (Ireland) Limited, in February 2025. Gross margin also softened to 48.1 percent due to higher levels of discounting required to clear stock in a challenging market.

To support future growth, the Group’s shareholders provided a 30 million pounds cash injection in March 2025 to accelerate digital transformation and optimize the online customer experience. This investment targets key areas such as data-driven innovation and the enhancement of the "Club New Look" loyalty program. Additionally, in October 2025, the company successfully extended its senior secured financing arrangements by 12 months to October 2027, providing further liquidity assurance.

Despite the year's challenges, the brand maintained its status as the number three womenswear retailer for the 18 to 44 age range and held the number one market share in women’s dresses, jeans, and footwear.