Ted Baker PLC (LSE:TED) reported higher profits in the 1-week period to 29 July 2022 but warned of a "significant deterioration" in the mood of customers ahead of its peak trading season.
The British clothing retailer said revenues grew 3.4% compared to the second quarter, led by stronger in-store performance across Ted Baker and its partners, however, this was still 28.3% below the same period in 2020.
Continued disruption from re-platforming had a negative impact on its eCommerce sales, it explained.
Store revenues were up 20.4% in the period, down 23% like-for-like in the second quarter of 2020 with e-commerce down 13.2%.
However, ahead of its proposed takeover by Reebok owner Authentic Brand Groups, Ted Baker believes it will continue to see customers choosing to shop in stores, leading to increased high street footfall.
Ted Baker did add it remains “mindful” of the “significant recent deterioration of the macro-economic environment, falling consumer confidence and continued volatility in the supply chain.”
Shares remained steady trading, up 0.18% to 109.2p in midday trading.