RE: SALE IS BEING WORKED7 Oct 2024 16:04
I wouldn't go that far analyst.
Operationally Boo has actually done a really good job of streamlining the business. It is actually a very efficient process model now I think.
However, strategically they got it badly wrong, going all out for growth with far too many brands.
They have chosen a subset of the brands to focus on but it remains to be seen if they can make significant profit from them or if they have the scale to run them all effectively.
The UK market I think is still very tough , for instance Next seem to be getting their growth internationally. The US obviously isn't flying.
The other thing we don't know is if the labels had hit an unsupported sales run rate by the end of last year or if they have continued to decline.
I don't know if results will be terrible or not, but I'm certainly not expecting massive yoy sales growth. I do think H2 could be better as consumer confidence is improving and so are real incomes