The º£½ÇÊÓƵ branch of New Balance has seen its sales more than double in just two years, with profits soaring by over £140m.
For the year 2023, the Cheshire-based division reported a turnover of £882.1m, a significant increase from £679.7m in 2022 and £413.5m in 2021, as reported by .
According to the latest accounts filed at Companies House, New Balance achieved a pre-tax profit leap from £6.6m to £148.2m within the span of 12 months.
These figures mark a return to profitability for the business in 2022, after several years of not recording a pre-tax profit since 2014.
º£½ÇÊÓƵ sales for the New Balance division climbed to £265.6m from £160m, while turnover in the rest of Europe reached £606.3m, up from £509m.
However, turnover outside of these regions experienced a slight decrease, falling from £10.6m to £10.2m.
The company also saw an increase in its workforce, with the average number of employees rising from 690 to 738.
New Balance investing in the º£½ÇÊÓƵ
A board-approved statement highlighted: "The year-on-year improvement was driven by sales and margin growth across wholesale and direct-to-consumer channels, where both consumer demand and brand strength continued to increase."
It added: "There was a similar uplift in intercompany sales as the trend seen within the º£½ÇÊÓƵ market was largely replicated across other subsidiaries."
The statement concluded with: "Despite the increase in intercompany sales, our intercompany receivables balances have reduced year on year due to subsidiaries settling their balances sooner."
The company emphasised the importance of prudent financial tactics paired with judicious growth investments, stating: "Cost base management alongside considered investment for growth continues to be a primary focus and as with previous years there was ongoing strategic investment in the º£½ÇÊÓƵ, particularly in both the running and football categories."
Looking ahead, the firm underscored its commitment to key sports segments, remarking: "New Balance continues to invest in strategic sports categories such as running, football, tennis and basketball to promote the brand's athletic range, aligning with the brand's objective in building a top three global athletic brand."
The business also highlighted efforts to boost consumer reach, noting: "The company continues to drive presence through direct-to-consumer channels as targets for these operations are aligned across both financial and commercial metrics to support growth."
Focusing on regional commitments, New Balance outlined its strategies for the local market: "Within the º£½ÇÊÓƵ, New Balance remains focused on promoting domestic manufacturing and continues to invest in research and development to create highly desirable footwear and sports clothing."
