• Net profit fell 13.2% to GBP5.3m
  • Sales rose 0.47% to GBP34.3m
  • Export sales increased 20%

UK clothing label Lyle & Scott posted a decline in full-year net profit as the company worked to grow its export business and increased its investment in back-end projects.

The company said in a Companies House report that for the year ended 31 March, net profit fell to GBP5.3m (US$8.7m), a 13.2% decline on the previous year. Over the period, sales rose 0.47% to GBP34.3m.

Lyle & Scott said that despite the difficult trading environment in its UK home market, it has "successfully grown" its total export sales by 20%, with "significant increases in a number of territories".

"We are confident in the sales outlook and the repositioning of the Heritage and Club ranges, along with extension of our product ranges, which has proved successful with the consumers," said Lyle & Scott.

Gross margins increased slightly to 52.4% from 51.7%, which the company described as a "positive achievement" given ongoing fluctuations in he foreign exchange markets and the pressure on raw material pricing.

Administrative costs increased 21.6% to GBP1.9m which Lyle & Scott said reflects its continued "strategic investments in people, property and systems to support the planned growth of the brand". As a result, operating profit fell 12.3% to GBP7.5m over the period.