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Sandra Halliday Published
October 9, 2025
River Island has filed its 2025 accounts for the various companies that make up the business with River Island Holdings Ltd saying that turnover rose almost 12% in the 53-week period.
The company, which designs and retails River Island branded fashion in the UK, Ireland, and the rest of the world, said it started the year well. But the business subsequently suffered from “both falling demand for its fashions and rising stock levels, which affected margins, whilst underlying costs rose”.
Despite this, its cash control was strong and the business ended the year with “substantial cash reserves”.
Turnover for the year increased 11.6% to £825.8 million from £740 million a year earlier, with the 53rd week accounting for £22.6 million of the jump (2025 had been a 52-week period).
However, despite the impressive sales increase, higher profit was much harder to come by. In fact, the company said that the combination of costs to clear excess stock and the impact of inflation on the goods sold resulted in a reduction in gross profit to £75.8 million from £128.3 million a year earlier.
With operating cost inflation also taken into account, it meant operating profit fell to £7.4 million from £73.5 million, and profit after tax was down to £5.5 million from £62.6 million. The profit figures weren’t materially affected by the 53rd week.
But the company is upbeat, and said that after Richard Bradbury's appointment as executive chairman at the start of this year “significant changes have been made, which are starting to bear fruit”.
That said, 2025 has been planned as “a year of transition”. What this means in practice is that product ranges have been refocused and a new leadership structure has been developed with several new senior hires.
The company has also invested significantly in refitting its shops as well as opening new locations and relocating some stores, including its largest store so far in Manchester Trafford. Its digital business and marketing have also been reorganised.