Revenue is down and pre-tax profits have more than halved at Shoezone, the Leicester footwear retailer.
According to an unaudited full year trading update for the 52 weeks to 27 September 2025 (FY 2025), revenue was £149.1m, down 7.6% on the year prior. Shoezone pointed to a decline in consumer confidence and general negativity in the UK, as well as trading out of 28 fewer stores.
The key weeks of Back-to-School trade, however, were in line with expectations, with digital revenue up 2.3% year-on-year.
Profit before tax is expected to be approximately £3.3m for FY 2025, down from £10.1m in the year prior. Adjusting for a £0.9m foreign exchange revaluation gain, adjusted profit before tax will be approximately £2.4m (FY2024: £10m).
The decline, compared to last year, is due to a sales reduction, year-on-year increases in National Insurance, depreciation, National Living Wage and first half container prices, Shoezone said.
Management continue to be cautious about the near-term outlook, with trading conditions expected to remain subdued.
Charles Smith, chairman, said: “This was a challenging year, particularly in the second half, as consumer confidence fell following the Government’s October 2024 budget, with persistent inflation, higher interest rates and reduced levels of disposable income all contributing to general negative economic and consumer sentiment in the UK.
“Sales were good when there was a clear reason to buy, such as the warm summer and the Back-To-School season. However, overall discretionary spending remains subdued as consumers exercise greater caution in their expenditure.
“Digital revenue outperformed last year and the ongoing strategy of refitting and relocating stores to our larger format continued, with 201 conversions completed, alongside net cash levels improving year-on-year.”
