Quiz sales plummet, store closures anticipated
Fashion retailer Quiz has revealed its sales have been “significantly impacted” by the pandemic, with total sales falling by 77% to £12.8m between 1 April and 31 August.
Its website sales totalled £4.9m in the period, marking a 45% decline against the £8.9m reported the year before.
Sales through third party websites also tumbled 64%, totalling £3.1m in the period, down from £8.4m the year before. In addition, certain third-party sites suspended or restricted product intake during the period.
Nonetheless, the retailer said that sales have steadily improved over the course of the period, with August revenues being 11% lower than the previous year, driven by an increased focus on its casual ranges over formalwear.
In its latest trading update, the retailer also confirmed it had made progress with renegotiating lease arrangements with landlords for standalone stores following the restructuring of its retail portfolio.
Prior to the restructuring, the fashion retailer operated 75 standalone stores in the UK, and has since reopened 48 stores.
The retailer now anticipates that it will reopen a total of approximately 60 stores in the UK, resulting in the closure of 15 sites. The group has also decided not to reopen any of its Spanish stores.
Following landlord negotiations, rental terms for its reopened stores are set to provide a flexible cost base going forward, with rents payable predominantly based upon revenues generated. The average lease length on these stores is 24 months.
