In the financial year 2022/23, Bestseller managed to increase its turnover by 5 percent to 5,973 million euros, while the result before tax totalled 664 million euros, 19 percent lower than last year.

The Danish fashion company having 20 brands including Jack & Jones, Vero Moda and Only under its portfolio said in a statement that the overall result indicates that the year was characterised by a changed and challenged market.

“We are far from immune to turbulent times, but I am pleased that we have navigated the increasing costs and provided our partners and customers with opportunities. We have chosen to absorb a significant part of the costs, which is reflected in the overall result,” said Anders Holch Povlsen, CEO and owner of Bestseller.

The company added that the performance of brick-and-mortar stores, including 2,100 owned by Bestseller and partner-owned stores, contributed positively to the result and showed promising signs, but overall online sales saw a decline for the first time.

The company continued to invest in a wide range of strategic business initiatives, digitalisation and new facilities as well as in business models, materials and technologies aimed at contributing to the necessary transformation of the fashion industry. Bestseller intends to continue these investments in the current and upcoming years. For example, the fashion company will open a new high-tech distribution centre in the Netherlands during the ongoing financial year, and several of the company’s brands will expand their retail networks.

“In recent years, we have seen significant changes, and we expect continued market uncertainty. We will do our best to address it, and we will invest to be ready. We aim to be well-run, humble, and equipped with the means and technologies needed to keep growing and achieving our ambitions,” added Anders Holch Povlsen.

The company will also continue to invest in sustainability initiatives. Since 2018, Bestseller has reduced its direct CO2 emissions by 82 percent, partly by establishing a solar power plant through its parent company and entering agreements for more CO2-neutral freight with several of its logistics partners. Also, the company has invested more than 150 million Danish krone in the earliest stages with innovators who are developing the materials of the future.