Karen Millen breaks even after lease terms improve
THE Irish arm of fashion chain Karen Millen has negotiated slightly improved lease terms on some of its outlets, with new figures showing that the firm broke even here last year.
Karen Millen Ireland Ltd broke even in the 53 weeks to the end of March 2, 2013, after the firm reported a €1m loss in 2012.
The company recorded a break-even performance in spite of revenues decreasing by 15pc to €7.5m, according to accounts filed with the Companies Office.
The firm's fiscal 2012 report stated that a viable business plan for the fashion retailer was dependent -- in part -- on the business securing rent reductions on its Irish outlets.
Now, the new figures show that Karen Millen last year paid €300,000 less in lease payments, going down to €1.3m -- a decrease of 18.7pc.
On the aim to drive down rents at their outlets, a spokesperson for Karen Millen said yesterday: "Nothing has changed since last year other than negotiating some slightly improved lease terms.
"Ultimately Karen Millen's portfolio continues to be about trading with Brown Thomas in six of our nine locations.
"Karen Millen continues to support the local market which remains part of our European trading strategy as the brand develops its full price trading stance across the globe."
The directors' report states that the 15pc decrease in revenues arose "against the background of a difficult retail environment".
The directors state the company's earnings before interest, tax, depreciation and amortisation was €200,000 for the year.
Numbers employed by the firm last year increased from 90 to 92.