End Clothing, the British luxury streetwear retailer, has fallen £42 million into the red after botching a warehouse overhaul.
End’s parent company Ashworth & Parker posted a pre-tax loss of £43 million in the year ending in March, down from a £9 million profit the year before, as sales slipped 3.8% to £212.7 million, according to accounts filed with Companies House.
Back in October, the luxury streetwear retailer was forced to write off £12 million worth of stock after a warehouse logistical error stopped it from shipping orders.
Its slip in sales was thanks to impairments linked to the implementation of a new stock system, according to The Times.
The company’s new automated fulfilment system – introduced in 2022 – had caused logistical errors, which had “adverse effects on both our operations and customers’ ordering experience”.
New accounts filed this week included consultancy costs and costs linked to removing old stock. These logistical errors weighed on the business and a slowdown in demand forced it to cut prices.
The company has reduced its stock intake throughout the year to “de-risk” its inventory exposure resulting in a 3.8% decline in turnover to £212.7 million but an improved inventory position to close the year from £92.7 million to £62 million.
Created in 2005, End started out as a 2-story shop on High Bridge in Newcastle stocking some of the world’s finest streetwear, sportswear and outerwear, along with a few fashionable pieces. It has evolved into a detailed operation consisting of two distinct retail shops.
Both shops house a range of the most noteworthy names in contemporary menswear including Off-White, Acne Studios, Stone Island, Comme des Garcons, and Moncler, alongside sportswear giants Nike and Adidas.
It was acquired by private equity firm Apollo Global Management from The Carlyle Group at the end of last year. It’s the latest twist to the retailer’s ownership as it approaches its 20th anniversary in 2025.
Looking ahead, End said it is “well-poised to navigate the current market environment, execute our strategic business plans and ensure the company remains positioned for sustained success”.
