Alexon sales dip on the rise

Fashion retailer Alexon Group posted a dip in group sales of 5.5 percent on a like-for-like basis for the year ended 27 January 2007. The company said, however, that sales during the current year had shown improvement since it decided to drop footwear label Dolcis. "The sale of Dolcis and the closure of Mandolin marks the end of a challenging period for the group," said chief executive John Osborn. "The positive start to the spring season by Bay Trading, and the product initiatives taken within Menswear and Alexon Brands mean that the group is well placed to make good progress in 2007."

The company achieved a turnover from continued operations of £325.8 million, down from £345.5 million last year. Operating profit was in line with market expectations at £11.8 million against £21.6 million last year. The company said its brands suffered from "the diversion of managerial effort and attention into Mandolin" and their subsequent loss of market share as a result. In an effort to turn its fortunes around, Alexon is planning to open 250 Bay Trading stores within the next five years.