Pre-tax profits at the Irish arm of clothing giant Next this year increased by 7% to €3.44m.
This followed revenues at Next Retail (Ireland) Ltd increasing by 6% from €83.4m to €88.15m in the 12 months to January 31 this year.
The pre-tax profits of €3.44m follow pre-tax profits of €3.21m in the prior year.
The directors state that “trade remains in line with expectations given the nature of the business as a retailer”.
The new accounts show that numbers employed increased slightly from 875 to 879 last year as staff costs rose by 14% from €13.49m to €15.44m.
The profits last year take account of non-cash depreciation costs of €1.64m.
On the risks and uncertainties faced by the firm, the directors point to pressure increasing on global supply chains when stating that the Middle East conflict has increased shipping transit times and there has been disruption to product availability due to ongoing civil unrest and labour disputes in Bangladesh.
The Irish arm recorded a post tax profit of €2.96m after incurring a corporation tax charge of €475,000.
Accumulated profits this year increased to €13.9m.
Separate accounts filed by the Irish unit of US fashion retailer A&F Hollister Ireland show that pre-tax profits reduced by 44% to €246,159 in the 12 months to January 31 this year.
This followed revenues declining by 28% from €8m to €5.7m.
The directors state that the business “experienced a challenging fiscal year”.
They state that the reduction in revenues “primarily reflects the seven month closure of one of our two stores for a full remodel”.
They state that throughout the period, the company maintained its focus on operational discipline, including close inventory management and continued customer engagement.
The directors state that the company’s strategic priorities continue to evolve based on changing customer demands and new strategic opportunities.
Numbers employed by the company this year reduced from 94 to 74, made up of 66 part time and eight full time workers as staff costs reduced marginally from €1.05m to €1.03m.
The firm’s operating lease costs totalled €1.3m this year compared to €794,853 in the prior year.
The profit also takes account non-cash depreciation costs of €192,711, offset by a foreign exchange gain of €112,028.
Accumulated profits at the end of January totalled €1.43m. The firm did not recommend the payment of a dividend last year.
Reporting by Gordon Deegan
