Fred Perry ends 2024 with higher pre-tax profits

British premium brand Fred Perry reported a slight decline in sales for the financial year ending December 31, 2024. The reasons for this included lower price discounts and macroeconomic factors.

In the current annual report, which was published in the British commercial register Companies House, the brand reported a decline in sales of 3.7 percent compared to the previous year to 143.6 million British pounds (169.5 million euros). However, 2023 was a record year for Fred Perry. The company attributed the decline to losses in its wholesale business, while its own retail business developed more stable.

Profit before taxes rose by 5.4 percent to 17.1 million British pounds (20.2 million euros). However, the net result fell slightly from 12.7 to 11.9 million British pounds.

Fred Perry said disruptions in the Red Sea and Suez Canal have significantly increased the volatility of freight costs and further increased pressure on logistics operations. Despite these issues and additional challenges due to inflation, the company has been able to maintain the selling price of the signature Fred Perry polo shirt thanks to the support of its long-standing suppliers and forward purchasing.

Overall, 2024 was a period of strategic consolidation for Fred Perry. The company focused on its collections and inventory after recording 40 percent growth between 2020 and 2023. Japan proved to be a particularly strong market. Revenues there increased by over 30 percent in 2023.

Looking ahead, Fred Perry warned that the company continues to face “a number of uncertain and concerning economic conditions.” These include extended periods of high inflation, the ongoing impact of Russia’s invasion of Ukraine and other geopolitical events. “Our long-term plan is to remain focused on executing on our clearly defined goals, mission and values,” the report said.