Fenwick has filed its accounts for the year to late January and they highlight “both the progress and the challenges” the business faced in the period.

Gross sales for the retailer, including VAT, fell to £303.6 million from £323.1 million in the previous year. Meanwhile, turnover fell to £184.2 million from £199.7 million, although the gross margin increased to 44.3% from 41.8%.

The company said that there were inflationary and cost pressures in the market but its expenses fell by a million pounds to £121.5 million. There were also no exceptional items during the year while the previous year with which the figures are being compared had exceptional items of £98 million.

The company said that the market environment continue to be challenging during the year and the effects of the war Ukraine were felt in its supply chain and its cost base. Consumer confidence was also impacted by the cost of living crisis and during the last quarter of the year its sales were additionally impacted by heavy discounting from competitors.

With all that taken into account the company recorded a loss on ordinary activities before tax of £28.4 million compared to a profit of £57.1 million a year earlier.

However, the business benefited from a revaluation gain on investment properties of £7.9 million compared to £5 million in the previous year.

The group’s cash balance increased by £134.8 million to £179.1 million, supported by the disposal of assets in the previous year This provided funds for the company to invest in its city centre locations, including its Newcastle flagship, as well as the money to support its online presence.

Following the end of the period the company closed its New Bond Street London flagship store that it had previously sold so the remaining business now comprises its online operation as well as eight regional department stores. These include that Newcastle flagship plus Kingston, Brent Cross, Colchester, Canterbury, Tunbridge Wells, Bracknell and York.

With a business that’s well capitalised, the company continues to look forward and has unveiled several strong marketing campaigns in recent periods.

And it stressed that it’s focused on returning to profitability across its operations with steps continuing to be taken to improve the operating model, especially online.

Of course, a major challenge is in leadership going forward. News came this summer that its CEO of almost five years, John Edgar, was stepping down as part of a “reorganisation of [its] executive leadership team and wider changes to the management structure of the company”.

He was meant to be replaced this autumn by Nigel Blow but the fallout from the Harrods scandal saw him taken by surprise as Fenwick withdrew its job offer.