Retail in Asia

In Shops

Arcadia takes margin hit as it shoulders VAT rise; hopes to open flagship store in China

Sir Philip Green’s Arcadia, which controls British fashion chains ranging from Topshop to Dorothy Perkins, shouldered GBP53 million (USD82.12m) of cost resulting from this year’s VAT rise rather than pass it on to shoppers.

The figure emerged in Arcadia’s full-year results, largely accounting for a margin decline of 1.8 percentage points.

Green said he hopes to open a flagship in China next year and the first standalone Topshop in Australia is scheduled to debut next month.

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(Source: Retail Week)