Monsoon Accessorize falls into the red in Ireland

The Irish arm of fashion retailer Monsoon Accessorize has plunged into the red, hurt by an exceptional charge of €260,000 following a property portfolio review.

The Irish subsidiary saw profits of €305,000 turn into a €136,000 loss in the year ended 25 August 2018 after it booked an exceptional charge relating to reassessed lease agreements, according to The Irish Times.

Monsoon Accessorize, which is battling the high street’s tough trading conditions in the UK, operates eight stores in Ireland in locations including Dublin, Galway, Limerick, Cork and Sligo.

Store sales fell nearly 5% to €12.3 million, but directors said the business had a “steady overall trading performance” and that the womenswear brand performed well during the period.

The retailer’s UK parent is going through turbulent times, with CEO Paul Allen announcing his resignation in August just one month after gaining approval for a company voluntary agreement (CVA).

The CVA plan will allow the retailer to cut rents of between 25% and 65% at 135 UK stores. Monsoon’s Irish locations will not be affected.

Monsoon Accessorize falls into the red in Ireland

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