Income at Sir Philip Inexperienced’s retail empire, which incorporates Excessive Road trend chain Topshop, plummeted by seventy nine% final yr.
The failure of BHS and hard competitors within the clothes market contributed to the poor efficiency.
A report filed with Corporations Home by Taveta investments confirmed pre-tax income for the 12 months to August 27 2016 fell to £36.8m, down from £172.2m the earlier yr.
Complete gross sales fell 2.5% to £2.02bn.
Taveta is the holding firm of Arcadia which alongside its largest model, Topshop, owns Miss Selfridge, Burton, Evans, Wallis and Dorothy Perkins.
Taveta’s assertion reveals its income have been dented by £129.2m in a single-off costs.
These distinctive prices included £26.4m associated to the collapse into administration of BHS in April of final yr, and the “subsequent regulatory investigations”, it stated.
Taveta additionally made a £21.8m provision for “onerous” leases on loss-making shops final yr.
It stated its monetary efficiency was “under prior yr ranges”.
“The retail business continues to expertise a interval of main change as clients turn into ever extra selective and worth acutely aware and advances in know-how open up extra numerous, quick-altering and sophisticated gross sales channels.
“Clothes has additionally turn out to be a much less necessary a part of the family finances,” it added, echoing current statements made by different Excessive Road trend chains.
In the meantime, Taveta stated Brexit had brought on financial uncertainty and the autumn in sterling had dented its outcomes.
“The group is taking a look at initiatives to enhance margin to offset the continued impression of weaker sterling.”
Market circumstances remained “difficult and really aggressive”, with new gamers getting into the market notably on-line, it continued.
And whereas UK unemployment was low and shopper credit score availability continued to rise “the sluggish progress in common earnings impacts the spending energy of consumers”.
The final BHS retailer closed its doorways final yr when no purchaser could possibly be discovered for the chain.
There was an estimated £571m gap within the BHS pension overlaying all future payouts. The potential of taking over such a burden was seen as one of many causes that BHS failed to seek out backers or consumers for the enterprise at an entire.
In February of this yr Sir Philip agreed a £363m money settlement with the Pensions Regulator to plug the hole within the BHS pension scheme.
The deal means staff will get the identical beginning pension that they have been initially promised.
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