Philip Green’s Arcadia empire suffers 40pc drop in profits
PHILIP Green today said his retail empire had seen a near 40pc slide in profits as chains including Top Shop and Miss Selfridge chose not to pass on increasing costs to cash-strapped customers.
Arcadia Group, which also includes BHS, Burton and Evans, reported underlying pre-tax profits of £133.1 million compared with £213.1 million last year, as like-for-like sales including VAT fell 1.8pc.
Sir Philip said the company, which has 2,507 stores across its brands, saw margins squeezed by 1.8pc as it took a £53 million hit to absorb price increases.
Elsewhere, the company reported a bottom-line loss of £120 million after writing down the value of "certain onerous leases" across the estate due to the challenging economic conditions.