Post-tax losses at the Stella McCartney company, known for its sustainable positioning and support of its eponymous founder, deepened 7 percent year over year as higher sales were offset by rising administrative costs amid a wider restructure, according to papers submitted to UK registrar Companies House.
The business’s revenue increased 14% to £32.5 million ($39.4 million) during the fiscal year that concluded on December 31, 2021.
Following a costly divorce from then-parent firm Kering in 2018 as well as the commercial difficulties and protracted uncertainty caused by the pandemic, Stella McCartney has now claimed a loss of more than £30 million for three consecutive years.
The business has been undertaking a strategic turnaround since 2020 after LVMH made a minority interest in it in 2019. In order to do this, it licenced its children’s clothing to the Italian company Simonetta Spa and brought its e-commerce operations in-house (through its Italian business). The business did not distribute any dividends in 2020.
The business chose not to remark on the financial outcomes.