Matalan improves revenues but the retailer cautions it is “feeling the impact” of supply chain issues
The firm, which sells online and from its 228 stores in the UK, gave the update alongside revealing revenues improved to £264.7 million in the second quarter from £258 million a year earlier.
Steve Johnson, executive chairman, cautioned: “Over the last few months we have been feeling the impact of disruption within the inbound product supply chain, delaying the flow of stock into the UK and adding extra costs into the process. We are working closely with suppliers and partners to manage and mitigate the effects of this.”
Johnson added: “The combination of the negative impact of product delays coupled with the very positive reaction of our customers to great new product when it does arrive means that we expect availability to remain somewhat compromised over the coming months.”
The company has seen good shopper response to dress ranges, while Matalan also “saw a real recovery in smart and formalwear as more people returned to the office and freshened up their work wardrobe”.
Numerous high street firms are grappling with industry wide shortages of delivery drivers and delays of imports following Covid-19 disruption.
Matalan, which was founded by entrepreneur John Hargreaves in 1985, ultimately remains in control of the Hargreaves family.
