Theo Paphitis, owner of lingerie retailer Boux Avenue, has filed the business’s accounts for the year to the end of March 2024 and they show turnover and gross profit falling but the operating loss narrowing. And it promised an improvement in the current year.

The company said that turnover decreased to £59.9 million from £62.6 million in the latest year while gross profit was down to £29.7 million from £30.9 million. But the operating loss was a smaller £6.6 million compared to a negative £8.8 million in the previous year. EBITDA also improved to a £5.8 million loss compared to an £8.2 million deficit the year before.

In a statement in the accounts, Paphitis said the brand made further progress during the year particularly in connection with the growth in its latest sales channel – that is the partnerships business.

It has continued to develop its partnership business with the usual suspects such as Next, M&S, ASOS and Very stocking the label. It didn’t give specific figures but said the partnerships grew “significantly” last year and have continued to strengthen further into the current year. It expects this trend to continue and is looking to extend his part of its business still more.

In the year in question, just as other retailers did, it faced external challenges that had an impact on trade, so it was “positive to see an improvement in EBITDA year one year. Progress in the current financial year will see a major step forward in the financial performance of the business”.

The company has a strong store network of 26 locations in prime shopping destinations across the UK and it’s looking to extend its portfolio in carefully targeted areas.

Last year also saw more automation and improvements in its distribution centre with greater capacity and more efficiency as well as “notable” cost savings. In fact, the company said its efficiency improved by 75% year on year during peak trading at the end of 2023 and it has seen a reduction in operating costs of around £1.5 million as a result. Efficiency gains have also continued into the current year.

Additionally, improvements in its product offering and marketing have resulted in it selling more products at full price. Combined with improved sourcing and strong supplier relationships, this has boosted its margins more recently.