Sachin Ravikumar

(Reuters). Despite Ted Baker’s assertion that British fashion chains are seeing sales rebound after office and party wear have become more fashionable following the lifting COVID-19 restrictions on clothing, Baker indicated that it was not clear how fast the recovery would proceed.

Ted Baker and other apparel merchants are on a difficult road to return to normal. As demand grows for party and office wear, however, store footfall has been affected by low levels of tourists in London.

Rachel Osborne, chief executive of Osborne International said that she was optimistic about things but also cautiously optimistic regarding the future. A full return to international tourist would be a huge help in the rebound.

Ted Baker has 377 stores, with over three quarters located in North America and Europe. The company’s revenue increased 18% in the last 28 weeks. From 86.4 millions a year ago, the loss before taxes narrowed down to 25.3million pounds (or $34.2 million).

Many workers have returned to work due to the increasing number of COVID-19 vaccines being administered in North America and Europe. Ted Baker saw his North American revenue increase by one-third. Osborne also said that people looking forward to the holiday season and partying were also helping.

The shares of the retailer upmarket were at 143.9 pence as of 0905 GMT. This was an increase 5.3%

The decline in group revenue was still 36% higher than the pre-pandemic level of 2019, which suggests a slower road to recovery.

Osborne released a statement saying that “within our store portfolio, there have been clearly changed in footfall pattern and there is uncertainty over when and how high it will return to past patterns.”

Osborne started a three year turnaround for this upmarket retailer. Now, the company is half way through its cost-cutting and online expansion.

The company has been trying to improve its image since Ray Kelvin, the former boss of the company, left it in 2019. This was due to misconduct claims. Kelvin founded the business in Glasgow, Scotland in 1988. He has since denied all allegations.

Ted Baker didn’t provide financial forecasts for the year, but stated that it is “comfortable with current analyst expectations.”

According to the company, third-quarter revenue for group sales – in the period from Nov. 6 through Nov. 6, – also increased by 18%.

($1 = 0.7389 pounds)