City Chic Collective reported a decrease in revenue for FY24 and increased losses from continuing operations.
City Chic Collective reported a 28.3% drop in revenue from continuing operations to $131.6 million.
The loss from continuing operations increased 12.3% to $38.4 million.
However, losses from discontinued operations showed an improvement, decreasing 16.8% to $54.6 million.
The total loss attributable to shareholders was recorded at $93 million, a decrease of 6.8% from the previous year.
In a statement, Phil Ryan, CEO and managing director of City Chic Collective, said, "City Chic has executed a number of business transformation initiatives to ensure that the Group can return to a position of strength in what continues to be a challenging economic environment for our customers."
During FY24, the company completed the sale of the Evans business in the UK and the Avenue business in the US.
The sales are part of City Chic's strategy to focus on a single brand offering, dedicated to higher-value customers in Australia, New Zealand, and the USA.
The company also underwent significant cost-saving measures anticipated to save $20.3 million in total, with $8.8 million realized in FY24 and the remaining $11.5 million expected in FY25.
City Chic Collective improved its inventory levels, ending the year with $30.7 million in inventory, down 42.8% from the previous fiscal year.
Proceeds from the sales of the Evans and Avenue brands, along with a capital raise of $14.5 million prior to year-end, were used for working capital and debt reduction.
The multi-currency debt facility has been reduced to $10 million and extended to December 2026.
City Chic has entered FY25 with a streamlined operation and a healthy inventory position.
In addition, Peter McClelland will be stepping down as CFO, effective Oct. 18. Deputy CFO James Plummer will serve as interim CFO.