Ted Baker in fashion

Fashion retailer Ted Baker yesterday posted a near 10 per cent rise in annual profits amid a better-than-expected UK performance, but warned of tough times ahead.

By The Newsroom

Published 25th Mar 2010, 20:35 BST

Updated 25th Mar 2010, 20:36 BST

The firm posted pre-tax profits of 19.5m for the year to January 30, compared with 17.8m in the previous 12 months.

It said it was "encouraged" by current trading driven by good demand for its spring/summer collections, with a positive start to the new financial year in the UK. Ted Baker said retail sales across its business grew 15.4 per cent last year to 136.5m. Within this, the UK and Europe division posted a 17.3 per cent hike to 126.4m as British stores beat expectations, while their counterparts across the Channel flagged in the face of challenging conditions.

The firm's founder and chief executive Ray Kelvin said the group produced a strong performance despite a challenging trading environment.

"Whilst we believe that 2010 will be a difficult trading year, we remain well placed to deal with the challenges and opportunities ahead," he added.

"The brand is well positioned globally."

Europe