Harrods back in the black after abuse scandal and cyberattacks

Harrods has turned its loss around and returned to profitability in the past fiscal year. The London luxury department store held its ground in a challenging luxury market and despite two cyberattacks, after a substantial provision set aside a year earlier for victims of former owner Mohamed Al Fayed had weighed heavily on its results.

Modest growth

In the fiscal year ending in late January, Harrods posted a pre-tax profit of 84.9 million British pounds (97.6 million euros). A year earlier, the group had suffered a loss of just over 34 million British pounds (approximately 39.1 million euros). That loss was largely due to a provision of 62.5 million British pounds (71.9 million euros) for compensation to women who accuse Al Fayed of sexual abuse. Harrods has since compensated approximately 100 women. Hundreds of other claims are still pending settlement, according to Sky News.