Margin ImprovementA 410bp gross margin expansion to 67.9%, driven by healthier inventory and mix, reflects improved product economics and tighter stock management. Sustained higher gross margins support long-term cash generation, improve resilience to revenue volatility, and provide headroom to fund restructuring, marketing or deleveraging initiatives.
Retail Recovery And New Customer GainsReturn to comparable retail sales growth and material Gen Z and China new-customer gains indicate renewed brand resonance with younger cohorts and key markets. This durable shift supports higher-margin direct-to-consumer sales, enhances lifetime customer value, and underpins a multi-year pathway to rebuild sustainable retail revenue.
Structural Cost Savings And ProductivityA targeted GBP 80m annualized savings program, even after a one-off GBP 50m restructuring charge, improves operating leverage and cash conversion over time. Persistent productivity gains reduce fixed-cost breakevens, bolster margin sustainability, and provide recurring cash flow uplift to support investment and balance sheet repair.