Shares of In The Style Group PLC (AIM:ITS), the digital womenswear brand, dropped further as higher returns sent interim profits tumbling in spite of a healthy sales jump.
The group joined AIM in March at a price of 200p, but today was trading at 91p, down 9%.
Profit before tax fell to £900,000 in the six months to end 30 September 2021, from £1.8mln in the same period a year ago, which it blamed on supply problems as well as the returns issue.
The company said returns particularly affected its inclusive size ranges, which is being addressed through increased investment in product and garment technology and fitting.
Revenue increased by 39% to £29.8mln as 243,000 new customers signed up, though this marked a slowdown with growth of 88% on a two-year basis.
Website visits rose 7.6%, order frequency spiked 23.4% and average order value jumped 25.8%.