EFFORTS by a new management team to revive fashion chain Alexon were boosted yesterday after the group revealed an improvement in December trading.
Alexon surprised investors by upgrading profit forecasts and said there had been a "pleasing initial reaction" to spring ranges for two of its key brands, Bay Trading and Ann Harvey. Shares in the group, which also trades as Kaliko and Minuet, jumped
12 per cent as it ended a recent run of gloomy trading updates.
The business is now led by former Peacocks buying and merchandising director Jane McNally following her appointment as chief executive in April. She has drafted in Jane Eskriett – previously womenswear director at New Look and Primark – to carve out a new niche for the brands.
The firm currently has about 1,000 outlets in the UK and Europe, many of which are concessions within department stores.
While overall like-for-like sales for the 23 weeks to 3 January were down 10.5 per cent on a year earlier, Alexon said December trading for the group showed an improvement on the previous nine weeks.
It now expects operating profits for the year to 31 January to be "slightly higher" than management's forecasts at the end of November. McNally has already taken action to reduce levels of old stock, while there has been a positive reaction to new products at Bay Trading and Ann Harvey.
Alexon added: "This is encouraging for the 2009 outlook, which we believe will remain challenging in the wider economic terms."
The full article contains 263 words and appears in The Scotsman newspaper.
