Fashion retailer Bestseller doubles profits, will boost online ops

Danish fashion retailer Bestseller has doubled its pre-tax profit year-on-year to reach €273m in the 2015/16 year. The company saw 5% growth in total turnover to reach €3.07bn and said higher wholesale revenues, combined with an increased focus on controlling costs, were responsible for both the sales and profits rise.

The company said that Southern Europe and the UK primarily drove its growth during the year, counteracting more anaemic results from Scandinavia, India, Turkey and the Middle East, markets where the firm said its results were unsatisfactory.

For the new financial year, Bestseller also said it would focus more on digital. At present, wholesale and retail stores still account for 80% of its business but it wants to grow its online operations further.

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The internet is certainly a key focus for Bestseller management. Earlier this month the company's owner Anders Holch Povlsen said he had acquired a majority stake in Danish online platform Miinto that puts products from more than 1,000 physical retailers in front of online fashion shoppers.

Bestseller operates 2,700 branded chain stores across 38 countries worldwide, while its products are also sold in around 15,000 multi-brand and department stores globally.