Trespass owner sees profits slide as it operates in 'challenging' market

Jacobs & Turner, the company behind the renowned outdoor clothing brand Trespass, has seen its profits take a significant hit as sales stagnated during its latest financial year.

The firm reported a pre-tax profit of £1.2m for the year ending 30 June, 2024, a stark decrease from the £9.6m recorded in the previous 12 months, as reported by City AM.

According to newly filed accounts with Companies House, the business also experienced a slight downturn in turnover, from £127.4m to £127.3m over the same timeframe.

Founded in 1938 and headquartered in Glasgow, the company launched the Trespass brand in 1984.

Owned by the affluent Khushi family, dividends paid out amounted to £400,000 for the year, a reduction from £8.4m in the preceding year.

In a challenging retail sector environment, the board's statement acknowledged: "The financial year ended 30 June, 2024, was challenging for the retail sector."

It continued, highlighting rising operating costs and relatively static sales in a difficult market: "Operating costs continued to rise and sales were relatively flat in a tough marketplace."

The strength of the US dollar throughout most of the year was noted as a factor affecting the cost of goods and freight: "USD [US dollar] maintained a strong position for most of the year, impacting the cost of goods and freight."

However, the company did report expansion in strategic European locations: "Further growth was achieved in key strategic locations across Europe."

The Trespass owner also emphasised their dedication to environmental responsibility: "In addition to our financial performance, the directors remain steadfast in their commitment to enhancing the sustainability of our group's operations and driving the decarbonisation agenda in the UK."

This commitment has led to a reduction in carbon emissions across all sources: "This focus has resulted in the decrease in the carbon emissions across all sources.

"The group continues to focus on proactive measures to reduce emissions, such as optimising heating and lighting controls, enhancing premises insulation and significant steps towards the adoption of renewable technologies."

These results have come to light following City AM's report in October 2024 that the company behind Cotswold Outdoor has accumulated losses exceeding £100m since its last pre-tax profit nearly a decade ago.