Monsoon Accessorize returns to profit overcoming 'many headwinds'

Monsoon Accessorize has returned to profit for the first time in several years, as parent company Adena Brands Ltd reported a stronger trading performance for the year ending 30 August 2025, despite what it called "many headwinds" across the UK retail landscape.

Turnover rose by 4% to £212.2 million, while EBITDA jumped to £8 million, a £10.4 million improvement on last year’s loss. The group also swung back into the black with a £1 million pre-tax profit, compared with a £7.5 million loss in 2024. Cash reserves rose to £16.7 million, leaving the business debt-free.

Across the wider Adena group, which includes its Middle East affiliate, sales reached £227.8 million, with EBITDA of £9.1 million and cash of £17.9 million.

The turnaround was fuelled by solid trading at Accessorize, which posted positive like-for-like growth. Meanwhile, Monsoon’s digital business delivered strong improvements driven by more efficient marketing investment and accelerated third-party marketplace sales.

The group also tackled several underperforming areas. Monsoon childrenswear returned to growth, and its international business showed progress following recent restructuring.

Adena continued to invest, opening 14 new UK stores and refitting eight more, meaning most of its 190-store estate has now been refreshed within the past five years. It also completed a major technology upgrade, shifting systems to the cloud and reinforcing cybersecurity.

CEO Nick Stowe said: "This is an encouraging performance, despite the many headwinds we have been facing into, especially cost pressures and increased taxation.

"It has been possible thanks to the investment programme in our stores and systems that we have pursued in the past five years, and the dedication and hard work of my colleagues. I would especially like to thank all our customers for their continued support."

Founder and Chairman Peter Simon added: "Nick and his team have done an excellent job in returning Monsoon Accessorize to profit, despite this tough consumer climate.

"The uncertainty caused by the delayed Budget, where timing could not be worse for the retail sector, and the continuing threat of further tax rises, have not made our lives any easier. As a result, we are taking a cautious approach to investment and hiring, but believe that in the medium term the business will continue to grow and flourish thanks to our unique designs and rich heritage."