Radley has record year helped by US growth
today Nov 4, 2019
A staggering 104% increase in US sales helped Radley post record revenues of £92.9 million ($119.9m) in the 2019 financial year, despite many rival British brands struggling.
The British accessories brand’s US return is proving extremely beneficial, with revenues there reaching £19.2 million in the year to April 28 2019. And it looks like there could be more of the same ahead as the brand continues to offer high style at premium-but-affordable prices and links up with high-profile names on product launches and the #Radley Sprit campaign. Its latest collaborators for Christmas are Pearl and Daisy Lowe.
Radley, which has a Scottish terrier dog logo, announced it would make another attempt to crack the US market in 2018 after signing an exclusive deal with Macy’s to launch in hundreds of stores. It has also an online presence there through a partnership with home shopping TV network QVC.
The business opened an office in Dallas to manage its US expansion, which helped overseas sales grow to account for a third of total sales.
Overall, revenues at the premium handbag maker rose by 8.2% to a record £92.9 million during the period, while underlying group earnings grew 9% to £6.9 million.
Radley, which has 35 retail stores and five websites shipping to 45 countries, is understood to be considering reducing the number of concessions it has in department stores such as John Lewis, Debenhams and House of Fraser. That's no surprise given the shock to the system that weak trading and other issues at the latter two chains have caused for a number of brands that have concessions there.
The British department store chains and the brands that sell through them have continued to struggle amid weak consumer spending and rising costs. Earlier this year, British luxury bag maker Mulberry revealed it had taken a £2.1 million hit from the collapse of House of Fraser, while clothing retailer Coast fell into administration following the department store’s collapse.
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