Dr. Martens sees progress in recovery plan but not (yet) in sales

Despite declining sales, Dr. Martens reports that its recovery plan is on track. The brand is implementing a tighter promotional policy, limiting sales, and seeing an increase in wholesale channel sales.

“Necessary changes”

In the third quarter, Dr. Martens’ group sales fell by 2.7% at constant exchange rates to £253 million (€296 million). In the direct-to-consumer segment , revenue fell by 6.5% due to a stricter promotional policy and fewer sales. Full-price revenue rose by 2%. In the wholesale channel, the brand grew by 9.3%. From this, the company concludes that it is making progress with its “Levers for Growth” turnaround plan.

“This is a year of pivot, as we make the necessary changes to our business to set us up for future sustainable growth,” said CEO Ije Nwokorie. The company expects flat sales at constant exchange rates and strong growth in pre-tax profits for the full fiscal year.