Dr. Martens has revealed a cost action plan targeting savings of £20m to £25m after a year of decreased revenue and profit.
According to preliminary results for the year ended 31 March 2024, revenue was down 12% to £877.1m at the Northamptonshire shoe icon, while pre-tax profits dropped to £97.2m from £170.1m in the year prior. It follows a weak performance in the USA.
Kenny Wilson, Chief Executive Officer, said: “Our FY24 results were as expected and reflect continued weak USA consumer demand. This particularly impacted our USA wholesale business and offset our Group DTC performance, where pairs grew by 7%.
“We have achieved robust performances in EMEA and APAC, and our supply chain strategy continues to deliver good savings. We are clear that we need to drive demand in the USA to return to growth in FY26 onwards and are executing a detailed plan to achieve this, with refocused and increased USA marketing investment in the year ahead.
“We are also announcing a cost action plan across the Group, targeting savings of £20m to £25m. I am confident that the actions we are taking as we enter this year of transition will put us in good shape for the years ahead.”
