LONDON — Strategic investment in product, marketing, digital content and infrastructure dented the bottom line in 2012 at Anya Hindmarch, where sales rose 2.7 percent to 23.8 million pounds, or $37.8 million, in the year to Dec. 31.
This story first appeared in the October 1, 2013 issue of WWD. Subscribe Today.
The British accessories label posted a loss of 799,369 pounds, or $1.3 million, in 2012, compared with a profit of 175,000 pounds, or $280,000, in the previous year, according to figures filed this week to Companies House, the official registrar of companies based in the U.K.
All figures have been converted at average exchange for the periods to which they refer.
The company is in the early stages of a four-year strategic plan that aims to double the number of directly operated and franchised stores; put a sharper focus on core handbags, accessories, and the bespoke service, and upgrade the product positioning.
Over the past year, the brand has overhauled its IT system as it aims to become an omnichannel business, and upgraded its e-commerce site. Later this year, it plans to add innovative technology with the aim of “bringing to life” its bespoke offer online.
“We are preparing for the next stage of growth. We are still in an investment period, and there is more to come,” said James McArthur, chief executive officer of the business that is owned by its founder Anya Hindmarch and a minority shareholder, Mayhoola for Investments, the private Qatari investor group.
McArthur said the current year has gotten off to a good start with “strong double-digit growth” and a pickup in sales among the brand’s Asian franchises.
The company has also begun to expand and refurbish its 58 retail stores and franchises worldwide.
In August, it opened a 2,200-square-foot flagship on New York’s Madison Avenue that was designed by Ilse Crawford, with the second floor dedicated to bespoke and personalization services.
Earlier this month, it expanded its Bond Street store in London, which now includes an upper floor devoted to bespoke.
Later this month, Hindmarch will unveil a new shop fit at Harrods, a riff on Crawford’s new store concept for the brand.