Stella McCartney reports a loss of £32.7m (approximately US$40m) in calendar year 2021.
McCartney’s financial woes follow business challenges brought on by the coronavirus pandemic, after a costly spin-off from its former parent company Kering in 2018. After receiving a small investment from his LVMH in 2019, the company has undergone a strategic shift since 2020. This includes moving e-commerce management in-house and licensing children’s clothing to Italian group Simonetta Spa.
However, although turnover increased by 14% to £32.5m ($39.4m) for the financial year ended 31 December 2021, the increase in figures saw Stella McCartney lose more than £30m. for the third consecutive year.
The McCartney brand’s after-tax loss increased by 7% year-on-year, according to UK registrar Company House. The company declined to comment on this.
In other fashion news, here are eight drops you can’t miss this week.