Results for the six months ended 31 August 2026

Boohoo Group Plc

23 October 2026

 

23 October 2026

boohoo group plc

("Debenhams Group", the "Group" or the "Company")

Unaudited Results for the six months ended 31 August 2026

Reported EBITDA Up Over 600%

GMV growth continues to accelerate

Reported EBITDA £19.7m, a £23.2m improvement on H1 FY26

Profit before tax £28.3m, a £46.2m improvement on H1 FY26

Post-period-end transactions will reduce net debt to negligible levels by year-end

Medium-term ambition for Debenhams Group of £100m+ profit before tax

Dan Finley, Group Chief Executive Officer, said:

“The turnaround continues at pace. The Group has returned to GMV growth, gross margins are expanding and returns rates lowering. Reported EBITDA has increased over 600% and profit before tax has improved to £28.3m. This is the first time the Group has delivered positive profit before tax since August 2021. I am pleased to report that net debt is expected to be negligible at year-end. This is significantly ahead of our original guidance provided at the start of the year. I see material opportunities ahead and we are fully focused on maximising them.”

H1 FY27 Financial Summary

●         Adjusted EBITDA increased by 14.6% to £24.0m (H1 FY26: £21.0m), with margin of 5.9% (H1 FY26: 5.0%). Reported EBITDA was £19.7m (H1 FY26: loss of £3.5m), a £23.2m improvement, as exceptional costs reduced by 82.4% to £4.3m (H1 FY26: £24.5m).

●         GMV (pre returns) grew 1.8% to £863.8m, accelerating from 0.5% in Q1 to 2.9% in Q2. With the improvement in the returns rate, GMV post returns grew 3.7%. The Debenhams brand grew 14.1% (c.42% of Group GMV), and PrettyLittleThing (PLT), boohoo and Karen Millen have all returned to growth, with the consolidation of the PLT and boohoo management teams driving visible benefits in young fashion womenswear. MAN’s rate of decline is slowing, with the focus on driving profitability. Marketplace reached a record 38.9% of GMV (H1 FY26: 32.7%), against an ambition of well over 50%, lifting gross margin by 220bps to 54.1%.

●         Statutory profit before tax was £28.3m (H1 FY26: loss of £17.9m) and profit after tax £25.8m (H1 FY26: loss of £14.7m). Both periods include non-cash lease credits (c.£40m relating to the US distribution centre sublease; H1 FY26: £34.3m relating to Daventry); excluding them, the loss before tax narrowed from c.£52m to c.£12m.

●         Free cash flow was an inflow of £5.6m (H1 FY26: outflow of £22.1m), with capital expenditure down 27% to £5.5m (H1 FY26: £7.5m). Net debt reduced to £98.5m (H1 FY26: £111.1m) and is expected to be negligible at the year-end following the Sheffield and Nasty Gal disposals. Inventory was £124.4m (H1 FY26: £105.9m on a like-for-like basis¹¹), reflecting deliberate and controlled investment in stock to support growth.

Summary H1 FY27 Performance

£ million	H1 27	H1 26	Change
GMV Pre Returns¹	863.8	848.6	1.8%
Debenhams brand	363.8	318.8	14.1%
PLT and boohoo	368.8	364.9	1.1%
Karen Millen	51.4	54.0	(4.8%)
MAN	79.8	110.9	(28.0%)
Marketplace Mix %²	38.9%	32.7%	6.2pp
GMV Post Returns³	619.5	597.3	3.7%
Returns Rate %⁴	28.3%	29.6%	1.3pp
Revenue	409.6	422.4	(3.0%)
Gross profit	221.5	219.3	1.0%
Gross margin	54.1%	51.9%	220bps
Operating costs⁵	(199.8)	(198.6)	(0.6%)
Other income	2.3	0.3	n/m
Adjusted EBITDA⁶	24.0	21.0	14.6%
% of revenue	5.9%	5.0%	90bps
Exceptionals	(4.3)	(24.5)	82.4%
Reported EBITDA	19.7	(3.5)	n/m
Adjusted EBIT⁷	10.8	(7.7)	n/m
% of revenue	2.6%	-1.8%	450bps
Adjusted loss after tax⁸	(2.1)	(13.9)	84.9%
Adjusted diluted loss per share⁹	(0.13p)	(1.04p)	0.91p
Statutory profit/(loss) before tax	28.3	(17.9)	n/m
Statutory profit/(loss) after tax	25.8	(14.7)	n/m
Inventory¹¹	124.4	105.9	17.5%
Capex	(5.5)	(7.5)	26.7%
Free cash flow¹⁰	5.6	(22.1)	n/m
Net debt¹²	(98.5)	(111.1)	11.4%

Adjusted items, which are not statutory IFRS measures, show the underlying performance of the Group excluding large, non-cash and exceptional items. Definitions are set out in the notes to this table, which follow the Cautionary Statement.

Turnaround gathering pace

●         GMV returning to growth, with marketplace mix accelerating

●         Returns rates lowering and gross margins expanding

●         Adjusted and Reported EBITDA stepping forward, supported by a significant reduction in exceptional costs

●         Profit before tax positive and free cash flow improving

●         Net debt reducing, with post-period-end transactions expected to take it to negligible levels by the year-end

£ million	H1 FY27 31st Aug ‘26	H1 FY26 31st Aug ‘25	H1 FY25 31st Aug ‘24
GMV growth	1.8%	(27.9%)	(7.3%)
Marketplace mix	38.9%	32.7%	19.5%
Returns rateᵃ	28.3%	29.6%	31.4%
Gross margin	54.1%	51.9%	50.7%
Adjusted EBITDA	24.0	21.0	20.8
Exceptional costs at EBITDA levelᵇ	4.3	24.5	15.4
Reported EBITDAᶜ	19.7	(3.5)	5.4
Reported profit before taxᵈ	28.3	(17.9)	(147.3)
Capex	5.5	7.5	14.9
Free cash flowᵉ	5.6	(22.1)	(35.6)
Net debt	(98.5)	(111.1)	(143.1)

H1 FY26 amounts have been restated to reflect the reclassification of PLT from discontinued operations to continuing operations in the FY26 annual financial statements.

Post-Period-End

As announced, the Group completed the £90m disposal of the Sheffield automation and lease assignment on 10 September (£76.5m received post-period-end, with the remaining £13.5m to be received on vacant possession early in 2027) and the sale of Nasty Gal for $16m (£11.9m) on 15 September. Together, these transactions materially reduce the Group’s debt, and net debt is expected to be negligible at the year-end.

The Group has appointed GXO as its new global 3PL partner to migrate fulfilment from Sheffield to Burnley after Peak and operate the Burnley site, with the total cost to fulfil no more expensive than the cost incurred in Sheffield. The partnership also gives the Group better options to scale Fulfilled / Delivered by Debenhams, utilising GXO’s UK and international network.

At 31 August 2026, the Group’s Burnley distribution site was classified as held for sale. Following the period end, and as a result of the Sheffield transaction, the Group has decided to retain the site, and it is no longer classified as held for sale. The Group’s expectation of negligible net debt at the year-end does not assume any proceeds from Burnley.

OUTLOOK

Trading in September continued to be good, with the Group experiencing further accelerated growth. In respect of the full year, the Board expects to deliver GMV growth and Adjusted EBITDA of no less than £59m, as previously guided, representing double-digit growth year-on-year, together with continued material improvement in Reported EBITDA, positive profit before tax, free cash flow generation and negligible net debt. The £100m fixed cost target remains on track.

Looking ahead, additional material cost reductions are expected in FY28: depreciation reduced to £14m (FY27: £22m), lease costs reduced to £4m (FY27: £14m) and interest reduced by at least c.£10m based on the current facility, with potential for a further reduction under a new financial facility. The future cash flows are supported by significant brought forward tax losses of over £200m.

In the medium term we see the opportunity for Debenhams Group to become a £multi-billion GMV business delivering £100m+ profit before tax and generating significant cash.

Total Voting Rights

The total number of Ordinary Shares and voting rights in the Company is 1,619,720,334. No Ordinary Shares are held in treasury. This figure for the total number of Ordinary Shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.

Enquiries
Debenhams Group
Phil Ellis, Chief Financial Officer		Tel: [phone]
Dan Finley, Chief Executive Officer		Tel: [phone]
Zeus - Nominated Adviser and Joint Broker
Dan Bate / Daniel Phillips / Emma Burn		Tel: [phone]
Nick Searle / Dominic King		Tel: [phone]
Panmure Liberum - Joint Broker
James Sinclair-Ford / Ailsa MacMaster		Tel: [phone]
Peel Hunt - Joint Broker
George Sellar / Andrew Clark		Tel: [phone]
Sodali & Co - Financial PR Adviser
Ben Foster			Tel: [phone]
Elizabeth Kittle			Tel: [phone]

About Debenhams Group

Debenhams Group is an online platform, for fashion, home, and beauty, serving millions of customers across five shopping destinations: Debenhams, Karen Millen, boohoo, MAN and PLT. Debenhams Group dates back to 1778 when William Clark, a retail pioneer of the time, opened the UK's first department store. Today, the Group is home to Debenhams, Britain's online department store and leading fashion-led marketplaces, boohoo, PLT, MAN, and Karen Millen.

Cautionary Statement

Certain statements included or incorporated by reference within this announcement may constitute "forward-looking statements" in respect of the group's operations, performance, prospects and/or financial condition. Forward-looking statements are sometimes, but not always, identified by their use of a date in the future or such words and words of similar meaning as "anticipates", "aims", "due", "could", "may", "will", "should", "expects", "believes", "intends", "plans", "potential", "targets", "goal" or "estimates". By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions and actual results or events may differ materially from those expressed or implied by those statements. Accordingly, no assurance can be given that any particular expectation will be met and reliance should not be placed on any forward-looking statement. Additionally, forward-looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. No responsibility or obligation is accepted to update or revise any forward-looking statement resulting from new information, future events or otherwise. Nothing in this announcement should be construed as a profit forecast. This announcement does not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to purchase any shares or other securities in the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment or investment decisions relating thereto, nor does it constitute a recommendation regarding the shares or other securities of the Company. Past performance cannot be relied upon as a guide to future performance and persons needing advice should consult an independent financial adviser. Statements in this announcement reflect the knowledge and information available at the time of its preparation. Liability arising from anything in this announcement shall be governed by English law. Nothing in this announcement shall exclude any liability under applicable laws that cannot be excluded in accordance with such laws.

Notes to the Summary H1 FY27 Performance table

¹ GMV pre returns is all merchandise sold to customers after cancellations and before returns, including VAT, carriage receipts and premier subscription income.

² Marketplace mix is GMV pre returns generated from marketplace sales divided by total Group GMV pre returns. Revenue on marketplace sales is recognised as commission only.

³ GMV post returns is all merchandise sold to customers after cancellations and after returns, including VAT, carriage receipts and premier subscription income.

⁴ Returns rate is the value of customer returns (GMV pre returns less GMV post returns) expressed as a percentage of GMV pre returns.

⁵ Operating costs are distribution costs and administrative expenses, excluding depreciation, amortisation, share-based payment charges and exceptional items. Other income is presented separately and is included in Adjusted EBITDA. 

⁶ Adjusted EBITDA is calculated as profit/(loss) before tax, interest, depreciation, amortisation, share-based payment charges and exceptional items. Reported EBITDA is calculated as Adjusted EBITDA after exceptional items at EBITDA level, excluding impairments, lease credits and disposal gains and losses.

⁷ Adjusted EBIT is calculated as profit/(loss) before tax, interest, amortisation of acquired intangible assets, share-based payment charges and exceptional items.

⁸ Adjusted loss after tax is statutory profit/(loss) after tax before amortisation of acquired intangible assets, share-based payment charges, impairment and exceptional items, and the related tax effect.

⁹ Adjusted diluted loss per share is adjusted loss after tax divided by the diluted weighted average number of shares in issue during the period.

¹⁰ Free cash flow is defined as net cash generated from operating activities, less cash used for capital expenditure for the total Group.

¹¹ H1 FY26 inventory is presented on a like-for-like basis. Reported H1 FY26 inventory of £67.9m excluded £16.7m of net stock classified as held for sale and was stated after a £21.4m held-for-sale write-down.

¹² Net debt is cash and cash equivalents less interest-bearing loans and borrowings, excluding lease liabilities.

Notes to the “Turnaround gathering pace” table

ᵃ Returns rate is the value of customer returns (GMV pre returns less GMV post returns) expressed as a percentage of GMV pre returns.

ᵇ Exceptional items charged at EBITDA level, excluding impairments, lease credits and disposal gains and losses.

ᶜ Adjusted EBITDA less exceptional items at EBITDA level. H1 FY25 and H1 FY26 are derived from the exceptional items notes in the H1 FY25 and H1 FY26 interim results.

ᵈ H1 FY26 includes a £34.3m non-cash lease credit and H1 FY27 a £40.6m non-cash credit on the sublease of the US distribution centre.

ᵉ Net cash generated from operating activities, less capital expenditure, for the total Group, consistent with the H1 FY26 interim results. Tax refunded is excluded.

FINANCIAL REVIEW

Consolidated summary income statement

	6 months to 31 August 2026 £ million	6 months to 31 August 2025 £ million	Change H1 FY27 on H1 FY26
GMV Pre Returns	863.8	848.6	1.8%
Revenue	409.6	422.4	(3.0%)
Cost of sales	(188.1)	(203.1)	7.4%
Gross profit	221.5	219.3	1.0%
Gross margin %	54.1%	51.9%	220bps
Operating costs	(199.8)	(198.6)	(0.6%)
Other income	2.3	0.3
Adjusted EBITDA	24.0	21.0	14.6%
Adjusted EBITDA margin %	5.9%	5.0%	90bps
Depreciation	(9.9)	(19.8)
Amortisation of other intangible assets	(3.0)	(8.9)
Adjusted EBIT	10.8	(7.7)	n/m
Adjusting items:
Amortisation of acquired intangible assets	(3.4)	(3.3)
Share-based payment charges	(3.0)	(7.6)
Exceptional items	37.0	9.8
Operating profit/(loss)	41.4	(8.8)	n/m
Finance income	0.3	3.2
Finance expense	(13.4)	(12.3)
Profit/(loss) before tax	28.3	(17.9)	n/m
Taxation	(2.5)	3.2
Profit/(loss) after tax	25.8	(14.7)	n/m
Share of results of associates	-	-
Profit/(loss) for the period	25.8	(14.7)	n/m
Basic earnings/(loss) per share	1.64p	(1.10)p	n/m

Totals may not sum due to rounding.

*H1 FY26 amounts have been restated to reflect the reclassification of PLT from discontinued operations to continuing operations in the FY26 annual financial statements.

† Share-based payment charges of £3.0m include £0.7m of employer’s National Insurance contributions.

	6 months to 31 August 2026 £ million	6 months to 31 August 2025 £ million	Change
Adjusted profit/(loss) after tax for the period	(2.1)	(13.9)	84.9%
Amortisation of acquired intangible assets	(3.4)	(3.3)
Share-based payment charges	(3.0)	(7.6)
Impairment of assets	-	-
Exceptional costs	37.0	9.8
Adjustment for tax	(2.7)	0.3
Profit/(loss) after tax for the period	25.8	(14.7)	n/m
Adjusted diluted earnings/(loss) per share	(0.13)p	(1.04)p	0.91p

Exceptional costs before non-cash credits were £4.3m (H1 FY26: £24.5m). A full breakdown is provided in note 1 to the financial statements.

Consolidated summary statement of financial position

	At 31 August 2026 £ million	At 28 February 2026 £ million
Intangible assets	41.8	42.9
Property, plant and equipment	109.7	117.3
Right-of-use assets	13.3	15.7
Financial assets – equity investments	10.8	8.6
Net investment in finance lease	43.6	-
Investments in associates	-	-
Deferred tax asset	51.4	53.6
Non-current assets	270.6	238.1
Working capital	(141.4)	(145.0)
Assets held for sale (net)	22.0	26.0
Lease liabilities	(69.1)	(74.4)
Net financial assets/(liabilities)	-	-
Cash and cash equivalents	46.9	52.1
Interest bearing loans and borrowings	(145.4)	(145.3)
Deferred tax liability	(11.9)	(11.9)
Current tax asset/(liability)	(0.1)	2.7
Net assets	(28.4)	(57.7)

Liquidity and financial resources

Net debt as at H1 FY27 was £98.5m, reducing by 11.4% in comparison to H1 FY26 (£111.1m). Following the post-period-end disposals of the Sheffield automation and lease assignment and the Nasty Gal brand, net debt is expected to be negligible at the February 2027 year-end.

Consolidated summary cash flow statement

	6 months to 31 August 2026 £ million	6 months to 31 August 2025 £ million
Profit/(loss) for the period	25.8	(14.7)
Share-based payments charge	2.3	7.6
Depreciation charges, amortisation and impairment	16.3	31.5
Loss on sale of property, plant and equipment	(0.8)	0.6
Non-cash lease gains	(40.6)	(35.4)
Foreign exchange movements	(1.0)	3.2
Finance income	(0.3)	(3.2)
Finance expense	13.4	12.3
Tax expense	2.5	(3.2)
(Increase)/decrease in inventories	(19.1)	8.5
(Increase)/decrease in trade and other receivables	(5.4)	4.3
Increase/(decrease) in trade and other payables	18.0	(26.1)
Operating cash inflow/(outflow)	11.1	(14.6)
Capital expenditure and intangible asset purchases	(5.5)	(7.5)
Free cash inflow/(outflow)	5.6	(22.1)
Tax refunded	-	0.4
Proceeds from the sale of property, plant and equipment	5.2	9.1
Finance income received	0.3	1.1
Finance expense paid	(10.0)	(12.3)
Lease payments	(6.3)	(9.1)
Drawdown/(repayment) of borrowings	-	18.5
Net cash (outflow)	(5.2)	(14.4)
Cash and cash equivalents at beginning of period	52.1	44.7
Cash and cash equivalents at end of period	46.9	30.3

Free cash inflow/(outflow) in the summary cash flow statement is net cash generated from operating activities less capital expenditure, for the total Group, consistent with free cash flow in the Summary H1 FY27 Performance table (£5.6m; H1 FY26: £(22.1)m) and with the H1 FY26 interim results. Tax refunded and proceeds from the sale of property, plant and equipment are shown below free cash flow.

Unaudited consolidated statement of comprehensive income

for the period ended 31 August 2026

	Note	6 months to 31 August 2026 Pre Exceptional items	6 months to 31 August 2026  Exceptional items	6 months to 31 August 2026  Total	6 months to 31 August 2025 Pre Exceptional items (2)	6 months to 31 August 2025  Exceptional items (2)	6 months to 31 August 2025  Total (2)
		(unaudited)	(unaudited)	(unaudited)	(unaudited)	(unaudited)	(unaudited)
		£ million	£ million	£ million	£ million	£ million	£ million
Revenue	3	409.6		409.6	422.4		422.4
Cost of sales		(188.1)		(188.1)	(203.1)		(203.1)
Gross profit		221.5		221.5	219.3		219.3
Distribution costs		(67.8)	37.8	(30.0)	(68.4)	15.0	(53.4)
Administrative expenses		(151.6)	(0.8)	(152.4)	(169.8)	(5.2)	(175.0)
Amortisation of acquired intangibles		(3.4)		(3.4)	(3.3)		(3.3)
Other administrative expenses		(148.2)	(0.8)	(149.0)	(166.5)	(5.2)	(171.7)
Other income		2.3		2.3	0.3		0.3
Operating profit/(loss)		4.4	37.0	41.4	(18.6)	9.8	(8.8)
Finance income		0.3		0.3	3.2		3.2
Finance expense		(13.4)		(13.4)	(12.3)		(12.3)
Profit/(loss) before tax	4	(8.7)	37.0	28.3	(27.7)	9.8	(17.9)
Taxation		(1.6)	(0.9)	(2.5)	5.7	(2.5)	3.2
Profit/(loss) after tax		(10.3)	36.1	25.8	(22.0)	7.3	(14.7)
Share of results of associates		-	-	-		-	-
Profit/(loss) for the period		(10.3)	36.1	25.8	(22.0)	7.3	(14.7)
Other comprehensive (expense)/income for the period
(Gain)/loss reclassified to profit or loss during the period (1)				-			-
Exchange differences on translation of foreign operations				(1.0)
Fair value gain/(loss) on cash flow hedges during the period (1)				-			(0.1)
Fair value gain on investments at FVOCI	9			2.2			-
Income tax relating to these items				-			0.3
Total comprehensive income/(loss) for the period				27.0			(14.5)

1. Net fair value gains/losses on cash flow hedges will be reclassified to profit or loss during the two years to 31 August 2028.
2. H1 FY26 amounts have been restated to reflect the reclassification of PLT from discontinued operations to continuing operations in the FY26 annual financial statements.

Unaudited consolidated statement of financial position

at 31 August 2026

	Note	At 31 August 2026	At 31 August 2025	At 28 February 2026
		(unaudited)	(unaudited)	(audited)
		£ million	£ million	£ million
Assets
Non-current assets
Intangible assets	6	41.8	61.7	42.9
Property, plant and equipment	7	109.7	181.7	117.3
Right-of-use assets	8	13.3	16.3	15.7
Financial assets – equity investments	10	10.8	0.3	8.6
Net investment in finance lease	11	43.6	-	-
Investment in associates		-	9.1	-
Deferred tax	12	51.4	64.1	53.6
Total non-current assets		270.6	333.2	238.1
Current assets
Inventories		124.4	67.9	105.3
Trade and other receivables	13	39.3	21.7	33.9
Financial assets		-	0.1	-
Current tax asset		1.8	-	2.7
Cash and cash equivalents		46.9	30.3	52.1
Total current assets		212.4	120.0	194.0
Assets Held for Sale	9	22.0	16.7	26.0
Total assets		505.0	469.9	458.1
Liabilities
Current liabilities
Trade and other payables	14	(271.2)	(215.7)	(251.8)
Provisions	15	(15.6)	(17.2)	(19.8)
Lease liabilities	17	(11.5)	(8.9)	(11.0)
Tax		(1.9)	-	-
Total current liabilities		(300.2)	(241.8)	(282.6)
Non-current liabilities
Other long-term payables		(9.4)	-	(2.9)
Provisions	14	(8.9)	-	(9.7)
Interest bearing loans and borrowings	16	(145.4)	(141.4)	(145.3)
Lease liabilities	17	(57.6)	(66.9)	(63.4)
Financial liabilities	20	-	-	-
Deferred tax	12	(11.9)	(19.7)	(11.9)
Total liabilities		(533.4)	(469.8)	(515.8)
Net assets		(28.4)	0.1	(57.7)
Equity
Share capital	18	16.2	14.0	16.2
Share premium		930.1	893.4	930.1
EBT reserve		(33.1)	(31.7)	(33.1)
Other reserves	19	(751.6)	(752.4)	(752.8)
Retained earnings		(190.0)	(123.2)	(218.1)
Total equity		(28.4)	0.1	(57.7)

Unaudited consolidated statement of changes in equity

	Share capital	Share premium	Hedging reserve	EBT reserve	Other reserves	Retained earnings	Total equity
	£ million	£ million	£ million	£ million	£ million	£ million	£ million
Balance at 28 February 2026	16.2	930.1	0.0	(33.1)	(752.8)	(218.1)	(57.7)
Profit for the period	-	-	-	-	-	25.8	25.8
Other comprehensive income/(expense):
Gain reclassified to profit and loss in revenue	-	-	-	-	-	-	-
Translation of foreign operations	-	-	-	-	(1.0)	-	(1.0)
Fair value gain on investments at FVOCI	-	-	-	-	2.2	-	2.2
Total comprehensive income for the period	-	-	-	-	1.2	25.8	27.0
Issue of shares	-	-	-	-	-	-	-
Share-based payments charge	-	-	-	-	-	2.3	2.3
Balance at 31 August 2026	16.2	930.1	-	(33.1)	(751.6)	(190.0)	(28.4)

	Share capital	Share premium	Hedging reserve	EBT reserve	Other reserves	Retained earnings	Total equity
	£ million	£ million	£ million	£ million	£ million	£ million	£ million
Balance at 29 February 2025	14.0	893.4	0.1	(31.7)	(755.9)	(116.0)	3.9
Loss for the period	-	-	-	-	-	(14.7)	(14.7)
Other comprehensive income/(expense):
Income tax relating to these items	-	-	-	-	0.3	-	0.3
Fair value loss on cash flow hedges during the period	-	-	(0.1)	-	-	-	(0.1)
Total comprehensive expense for the period	-	-	(0.1)	-	0.3	(14.7)	(14.5)
Issue of shares	-	-	-	-	-	-	-
Share-based payments charge	-	-	-	-	-	7.5	7.5
Translation of foreign operations	-	-	-	-	3.2	-	3.2
Balance at 31 August 2025	14.0	893.4	-	(31.7)	(752.4)	(123.2)	0.1

	Share capital	Share premium	Hedging reserve	EBT reserve	Other reserves	Retained earnings	Total equity
	£ million	£ million	£ million	£ million	£ million	£ million	£ million
Balance at 29 February 2025	14.0	893.4	0.1	(31.7)	(755.9)	(116.0)	3.9
Loss for the year	-	-	-	-	-	(108.3)	(108.3)
Other comprehensive income/(expense)
Loss reclassified to profit or loss	-	-	(0.1)	-	-	-	(0.1)
Fair value loss on equity instruments	-	-	-	-	(0.2)	-	(0.2)
Translation of foreign operations	-	-	-	-	3.3	-	3.3
Total comprehensive expense for the year	-	-	(0.1)	-	3.1	(108.3)	(105.3)
Issue of shares	2.2	36.7	-	(1.4)	-	-	37.5
Share-based payments charge	-	-	-	-	-	6.2	6.2
Total Transactions with owners in their capacity as owners	2.2	36.7	-	(1.4)	-	6.2	43.7
Balance at 28 February 2026	16.2	930.1	-	(33.1)	(752.8)	(218.1)	(57.7)

Unaudited consolidated cash flow statement

for the period ended 31 August 2026

	Note	6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
		(unaudited)	(restated)	(audited)
		£ million	£ million	£ million
Cash flows from operating activities
Profit/(loss) for the period		25.8	(14.7)	(108.3)
Adjustments for:
Share-based payments charge		2.3	7.6	6.2
Depreciation charges, amortisation and impairment		16.3	31.5	100.9
Loss/(gain) on sale of property, plant and equipment		(0.8)	0.6	0.5
Non-cash lease gains		(40.6)	(35.4)	(35.4)
Lease payments charged to P&L		-	-	2.5
Share of results of associates		-	-	8.1
Fair value gain on financial instruments		-	-	(3.5)
Exchange movements		(1.0)	3.2	-
Finance income		(0.3)	(3.2)	(4.6)
Finance expense		13.4	12.3	28.2
Tax expense		2.5	(3.2)	-
Loss on de-recognition of loan liability		-	-	1.2
RDEC tax credit		-	-	(2.3)
Tax credit		-	-	(0.3)
		17.6	(1.3)	(6.8)
Decrease/(increase) in inventories		(19.1)	8.5	13.2
Decrease/(increase) in stock provision movement		-	-	(28.5)
(Increase)/decrease in trade and other receivables	13	(5.4)	4.3	(6.9)
(Decrease)/increase in trade and other payables	14	18.0	(26.1)	23.2
Increase/(decrease) in other long-term payable		-	-	2.9
Cash (used in)/generated from operations		11.1	(14.6)	(2.9)
Tax repaid		-	0.4	0.5
Net cash (outflow)/inflow from operating activities		11.1	(14.2)	(2.4)
Cash flows from investing activities
Acquisition of intangible assets	6	(5.3)	(7.5)	(13.4)
Acquisition of property, plant and equipment	7	(0.2)	-	(2.6)
Proceeds from the sale of property, plant and equipment		5.2	9.1	9.1
Acquisition of financial assets – equity investments		-	-	(4.0)
Finance income received		0.3	1.1	4.6
Net cash generated / (used in) investing activities		-	2.7	(6.3)
Cash flows from financing activities
Proceeds from the issue of ordinary shares		-	-	38.9
Purchase of own shares by EBT		-	-	(1.4)
Finance expense paid		(10.0)	(12.3)	(25.3)
Lease payments	17	(6.3)	(9.1)	(11.2)
Lease payments charged to P&L		-	-	(2.5)
Drawdown/(repayment) of borrowings	16	-	18.5	18.7
Net cash generated from /(used in) financing activities		(16.3)	(2.9)	17.2
Increase/(Decrease) in cash and cash equivalents		(5.2)	(14.4)	8.5
Cash and cash equivalents at beginning of period		52.1	44.7	44.7
Effects of exchange-rates changes on cash				(1.1)
Cash and cash equivalents at end of period		46.9	30.3	52.1

Notes

(forming part of the interim report and accounts)

1.                      Accounting policies

General information

boohoo group plc is a public limited company incorporated and domiciled in Jersey and listed on the Alternative Investment Market (AIM) of the London Stock Exchange. Its registered office address is: 12 Castle Street, St Helier, Jersey, JE2 3RT. The company was incorporated on 19 November 2013.

Basis of preparation

These condensed consolidated interim financial statements have been prepared in accordance with UK-adopted IAS 34, Interim Financial Reporting. The interim financial statements should be read in conjunction with the group’s Annual Report and Financial Statements for the year ended 28 February 2026, prepared and approved by the directors in accordance with UK-adopted international accounting standards and the Companies (Jersey) Law 1991 applicable to companies reporting under IFRS.

The interim condensed financial statements contained in this report are not audited and do not constitute statutory accounts within the meaning of Companies (Jersey) Law 1991. The Annual Report and Financial Statements for the year ended 28 February 2026 has been filed with the Jersey Companies Registry. The auditors’ report on those accounts was unqualified and did not include reference to any matters on which the auditors were required to report by exception under Companies (Jersey) Law 1991.

The group’s business activities together with the factors that are likely to affect its future developments, performance and position are set out in the Business and Financial Reviews. The Financial Review describes the group’s financial position, cash flows and bank facilities.

The interim financial statements are unaudited and were approved by the board of directors on 22nd October 2026.

Going concern

The directors have reviewed the group’s forecast and projections, including assumptions concerning capital expenditure and expenditure commitments and their impact on cash flows, and have a reasonable expectation that the group has adequate financial resources to continue its operations for the foreseeable future. For this reason, they have continued to adopt the going concern basis in preparing the financial statements.

In preparing the interim announcement, the directors have also made reasonable and prudent judgements and estimates and prepared the interim announcement on the going concern basis. The interim announcement and management report contained herein give a true and fair view of the assets, liabilities, financial position and profit and loss of the group.

Accounting policies

The interim financial statements have been prepared in accordance with the accounting policies set out in the group’s Annual Report and Financial Statements for the year ended 28 February 2026.

Significant estimates and judgements

The preparation of financial statements in conformity with IFRS as adopted by the UK requires management to make judgements, estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities. The estimates and assumptions are based on historical experience and various other factors believed to be reasonable under the circumstances. Actual results could differ from these estimates and any subsequent changes are accounted for when such information becomes available. The judgements, estimates and assumptions that are the most subjective or complex are discussed below and are unchanged from those at 28 February 2026, except for those relating to finance sublease accounting, which is new in the current interim period.

Exceptional items and impairment of assets

Exceptional items are those of significant size and of a non-recurring nature that require disclosure in order that the underlying business performance can be identified. The exceptional costs in these interim statements include additional costs associated with the restructuring of warehousing facilities and onerous contracts. Such additional costs do require estimation by management.

Exceptional costs and impairment of assets	6 months to 31 August 2026	6 months to 31 August 2025
	£ million	£ million
Cost of sales	-	-
	-	-
Selling and distribution costs
Restructuring costs	-	4.4
Gain on recognition of finance lease receivable	(40.6)	-
De-recognition of lease liabilities	-	(34.3)
Profit on property disposal	(0.7)	-
UK Warehouse restructuring and post closure expenditure	2.7	13.6
UK property related costs	-	1.0
USA warehouse associated closure costs	0.8	0.3
	(37.8)	(15.0)
Administration expenses
Technology platform – dual running costs	0.4	1.0
Restructuring costs	-	3.9
Professional fees	0.4	0.3
	0.8	5.2
Total before tax	(37.0)	(9.8)
Tax	0.9	2.5
Total after tax	(36.1)	(7.3)

2.                      Principal risks and uncertainties

The board considers the principal risks and uncertainties which could impact the group over the remaining six months of the financial year to 28 February 2027 to be unchanged from those set out in the group’s Annual Report and Financial Statements for the year ended 28 February 2026, which in summary are: supply chain ethics, competition risk; sustainability, governance, ethos and culture, regulatory compliance, taxation and duties, supply chain costs, IT and cyber security, business change, third parties, business continuity, people, product and financial risk. These are set out in detail on pages 40 to 50 of the group’s Annual Report and Financial Statements for the year ended 28 February 2026, a copy of which is available on the group’s website, www.boohooplc.com.

3.                      Segmental analysis

6 months ended 31 August 2026
	Youth Brands	Debenhams	Karen Millen	Total
	£ million	£ million	£ million	£ million
Revenue	267.5	118.2	23.9	409.6
Cost of Sales	(131.6)	(45.2)	(11.3)	(188.1)
Cost of Sales – exceptional costs	-	-	-	-
Gross Profit	135.9	73.0	12.6	221.5
Distribution costs				(67.8)
Distribution costs – Exceptional costs				37.8
Administrative expenses				(148.2)
Administrative expenses – Exceptional costs				(0.8)
Amortisation of acquired intangibles				(3.4)
Other Income				2.3
Operating profit/(loss)				41.4
Finance Income				0.3
Finance expense				(13.4)
Profit/(loss) before tax				28.3

6 months ended 31 August 2025
	Youth Brands	Debenhams	Karen Millen	Total
	£ million	£ million	£ million	£ million
Revenue	298.0	98.2	26.2	422.4
Cost of Sales	(150.7)	(39.9)	(12.5)	(203.1)
Cost of Sales – exceptional costs	-	-	-	-
Gross Profit	147.3	58.3	13.7	219.3
Distribution costs				(68.4)
Distribution costs – Exceptional costs				15.0
Administrative expenses				(166.5)
Administrative expenses – Exceptional costs				(5.2)
Amortisation of acquired intangibles				(3.3)
Other Income				0.3
Operating loss				(8.8)
Finance Income				3.2
Finance expense				(12.3)
Loss before tax				(17.9)

Year ended 28 February 2026
	Youth Brands	Debenhams	Karen Millen	Total
	£ million	£ million	£ million	£ million
Revenue	609.5	249.5	58.0	917.0
Cost of Sales	(313.2)	(107.1)	(28.0)	(448.3)
Cost of Sales – exceptional costs	-	-	-	8.5
Gross Profit				477.2
Distribution costs				(124.6)
Distribution costs – Exceptional costs				(29.0)
Administrative expenses				(350.3)
Administrative expenses – Exceptional costs				(47.6)
Amortisation of acquired intangibles				(7.6)
Discontinued operations – total cost				-
Other Income				5.0
Operating loss				(76.9)
Finance Income				4.6
Finance expense				(28.2)
Share of results in associates				(8.1)
Loss before tax				(108.6)

Due to the nature of its activities, the group is not reliant on any individual customers.

No analysis of the assets and liabilities of each operating segment is provided to the chief operating decision maker in the monthly management accounts, therefore, no measure of segmental assets or liabilities is disclosed in this note.

4.                      Profit/(loss) before tax

Profit/(loss) before tax is stated after charging/(crediting):	6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Short-term operating lease rentals for buildings	-	0.1	-
Share-based payment charges	3.0	7.6	6.2
Exceptional costs, excluding impairment (note 1)	(37.0)	(9.8)	68.1
Depreciation of property, plant and equipment (note 7)	7.3	17.6	24.0
Impairment of property, plant and equipment (note 1, 7)	-	-	33.1
Depreciation of right-of-use assets (note 8)	2.6	2.2	7.5
Impairment of right-of-use assets (note 1, 8)	-	-	-
Amortisation of intangible assets (note 6)	3.0	8.9	12.8
Impairment of intangible assets (note 6)	-	-	-
Amortisation of acquired intangible assets (note 6)	3.4	3.3	7.6
Impairment losses on trade receivables	1.1	1.0	-
Amortisation of software	-	-	15.9
Daventry gain on re-assignment	-	-	(35.4)
(Gain)/loss on disposal of property, plant and equipment	(0.8)	-	0.5
Fair value movement on classification of investment to IFRS9	-	-	(3.5)
Share of results of associates	-	-	(8.1)
Net foreign exchange (gain)/loss	(0.2)	(5.1)	-

5.                      Earnings per share

Basic earnings per share is calculated by dividing profit after tax attributable to members of the holding company by the weighted average number of shares in issue during the period. Own shares held by the Employee Benefit Trust are eliminated from the weighted average number of shares. Diluted earnings per share is calculated by dividing the profit after tax attributable to members of the holding company by the weighted average number of shares in issue during the period, adjusted for potentially dilutive share options.

Earnings per share for continuing operations

	6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
Weighted average shares in issue for basic earnings per share (million)	1,574.1	1,341.8	1,399.8
Dilutive share options (million)	48.5	91.4	106.5
Weighted average shares in issue for diluted earnings per share (million)	1,622.6	1,433.2	1,506.3
Profit/(loss) (£ million)	25.8	(14.7)	(108.3)
Basic earnings/(loss) per share	1.64p	(1.10)p	(7.74)p
Diluted earnings/(loss) per share	1.59p	(1.10)p	(7.74)p
Profit/(loss) (£ million)	25.8	(14.7)	(108.3)
Adjusting items:
Amortisation of intangible assets arising on acquisitions	3.4	3.3	7.6
Share-based payment charges	3.0	7.6	8.1
Exceptional items	(37.0)	(9.8)	68.1
Impairment of assets	-	-	-
Share of results of associate	-	-	8.1
Adjustment for tax	2.7	(0.3)	(16.7)
Adjusted loss	(2.1)	(13.9)	(33.1)
Adjusted loss per share	(0.13)p	(1.04)p	(2.36)p
Adjusted diluted loss per share	(0.13)p	(1.04)p	(2.36)p

6.                      Intangible assets

	Patents and licences	Trademarks	Computer software	Total
	£ million	£ million	£ million	£ million
Cost
Balance at 28 February 2026	1.3	115.6	149.1	266.0
Additions	-	-	5.3	5.3
Balance at 31 August 2026	1.3	115.6	154.4	271.3
Accumulated amortisation
Balance at 28 February 2026	0.8	82.1	140.2	223.1
Amortisation	-	3.4	3.0	6.4
Balance at 31 August 2026	0.8	85.5	143.2	229.5
Net book value
At 28 February 2026	0.5	33.5	8.9	42.9
At 31 August 2026	0.5	30.1	11.2	41.8

7.                      Property, plant and equipment

	Short leasehold alterations	Fixtures and fittings	Computer equipment	Motor vehicles	Land & buildings	Total
	£ million	£ million	£ million	£ million	£ million	£ million
Cost
Balance at 28 February 2026	38.8	197.3	16.4	0.9	27.1	280.5
Additions	-	0.1	-	-	-	0.1
Exchange differences	-	-	-	-	-	-
Disposals	-	(0.4)	-	-	(0.5)	(0.9)
Balance at 31 August 2026	38.8	197.0	16.4	0.9	26.6	279.7
Accumulated depreciation
Balance at 28 February 2026	22.7	103.2	15.9	0.7	20.7	163.2
Depreciation charge	1.2	5.8	0.2	-	0.1	7.3
Impairment of assets	-	-	-	-	-	-
Exchange differences	-	-	-	-	-	-
Disposals	-	(0.4)	-	-	(0.1)	(0.5)
Balance at 31 August 2026	23.9	108.6	16.1	0.7	20.7	170.0
Net book value
At 28 February 2026	16.1	94.1	0.5	0.2	6.4	117.3
At 31 August 2026	14.9	88.4	0.3	0.2	5.9	109.7

8.                      Right-of-use assets

					Short leasehold properties
					£ million
Cost
Balance at 28 February 2026					165.5
Additions					0.2
Balance at 31 August 2026					165.7
Accumulated depreciation
Balance at 28 February 2026					149.8
Depreciation					2.6
Balance at 31 August 2026					152.4
Net book value
At 28 February 2026					15.7
At 31 August 2026					13.3

9.                      Asset Held for Sale

	At 31 August 2026	At 31 August 2025
	£ million	£ million
Burnley Warehouse	26.0
PLT Held for Sale		16.7
Burnley Warehouse disposals	(4.0)
Total Assets held for sale	22.0	16.7

10.                  Financial assets – Investment in equity instruments

	Investments
	£ million
Fair value
Balance at 28 February 2026	8.6
Fair value gain	2.2
Balance at 31 August 2026	10.8

Shortly before 28 February 2026, the group ceased to exercise significant influence over Revolution Beauty Group plc ("REVB") and the investment ceased to be accounted for as an associate using the equity method. At 31 August 2026 the group holds 25.47% of the ordinary share capital of REVB.

The investment is classified as an equity instrument measured at fair value through other comprehensive income (FVOCI) in accordance with IFRS 9.  The group made an irrevocable election as part of the February 2026 year-end, to present subsequent changes in fair value in other comprehensive income, and these gains and losses are not subsequently reclassified to profit or loss. The fair value of the investment is determined by reference to REVB’s quoted share price and is classified within Level 1 of the fair value hierarchy. A fair value gain of £2.2 million has been recognised in other comprehensive income in the six months to 31 August 2026.

11.                   Net investment in finance lease

	31 August 2026	31 August 2025	28 February 2026
	£ million	£ million	£ million
Balance at beginning of period	-	-	-
Recognised on entering into sub-lease	43.4	-	-
Interest income	0.2	-	-
Lease receipts	-	-	-
Balance at end of period	43.6	-	-

During the period the Group entered into an arrangement to sub-lease its US distribution centre to a third party for the remaining term of the head lease. The sub-lease has been classified as a finance lease because it transfers substantially all of the risks and rewards incidental to ownership of the right-of-use asset arising from the head lease.

On commencement of the sub-lease, the Group recognised a net investment in the sub-lease (a finance lease receivable) of £43.4m (US$58.3m). The net investment comprises the present value of the sub-lease payments receivable of £40.6m (US$54.5m) and initial direct costs of £2.8m (US$3.8m), which are included in its initial measurement. The gain of £40.6m, being the present value of the sub-lease payments receivable has been recognised in exceptional items (note 1). The Group continues to recognise the lease liability relating to the head lease (note 17). Finance income of £0.2m has been recognised in the period, giving a closing balance of £43.6m.

Finance income on the net investment in the sub-lease is recognised over the lease term. The net investment is measured at amortised cost and assessed for expected credit losses in accordance with IFRS 9.

12.                  Deferred tax

Assets

	Unused tax losses	Share-based payments	Temporary Differences	Total
	£ million	£ million	£ million	£ million
At 28 February 2025	54.2	5.8	0.1	60.1
Recognised in the Statement of comprehensive income	(5.5)	(1.0)	-	(6.5)
At 28 February 2026	48.7	4.8	0.1	53.6
Recognised in the Statement of comprehensive income	(2.2)	-	-	(2.2)
At 31 August 2026	46.5	4.8	0.1	51.4

Liabilities

	Business combinations	Capital allowances in excess of depreciation	Total
	£ million	£ million	£ million
At 28 February 2025	(0.5)	(19.2)	(19.7)
Recognised in the Statement of comprehensive income	-	7.8	7.8
At 28 February 2026	(0.5)	(11.4)	(11.9)
Recognised in the Statement of comprehensive income	-	-	-
At 31 August 2026	(0.5)	(11.4)	(11.9)

Recognition of the deferred tax assets is based upon the expected generation of future taxable profits. The deferred tax asset is expected to be recovered in more than one year’s time and the deferred tax liability will reverse in more than one year’s time as the intangible assets are amortised. Deferred tax is calculated at 25% as enacted from April 2023 by the UK Government.

13.                  Trade and other receivables

	6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Trade receivables	15.6	8.1	13.5
Prepayments	17.7	9.4	14.7
Accrued income	6.0	4.2	5.7
	39.3	21.7	33.9

Where specific trade receivables are not considered to be at risk and requiring a provision, the trade receivables impairment provision is calculated using the simplified approach to the expected credit loss model, based on the following percentages:

		6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
Age of trade receivable		%	%	%
60 - 90 days past due		5	1	1
91 - 120 days past due		3	5	5
Over 121 days past due		10	90	90

Trade receivables represent amounts due from wholesale customers.

The fair value of trade and other receivables is not materially different from the carrying value.

	6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Due within 30 days	15.3	7.4	6.3
Provision for impairment	(0.4)	(0.6)	(0.3)
Due in 31 to 90 days	3.3	3.4	11.1
Provision for impairment	(2.8)	(2.1)	(3.6)
Past due	2.7	1.2	1.4
Provision for impairment	(2.5)	(1.2)	(1.4)
Total amounts due and past due	21.3	12.0	18.8
Total provision for impairment	(5.7)	(3.9)	(5.3)
	15.6	8.1	13.5

14.                  Trade and other payables

	6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Trade payables	97.9	52.5	75.4
Other creditors	43.8	30.7	55.4
Accruals	101.1	107.3	93.4
Deferred income	6.1	11.1	7.7
Taxes and social security payable	22.3	14.1	19.9
	271.2	215.7	251.8

Trade and other payables include £10.8m (28 February 2026: £nil) in respect of claims which crystallised during the period. Of this, £1.4m is due within one year and is included within accruals and £9.4m is due after more than one year and is presented within other long-term payables in non-current liabilities. At 28 February 2026, the Group recognised a provision of £5.9m, representing its best estimate of the liability at that date (note 15). Following crystallisation of the amount during the six months ended 31 August 2026, this provision was transferred to payables

15.                  Provisions

	Dilapidations	Returns	Claims	Total
	£ million	£ million	£ million	£ million
Provision at 28 February 2025	11.2	18.6	2.8	32.6
Movements in provision charged/(credited) to income statement:
Prior year provision utilised	-	(18.6)	-	(18.6)
Increase in provision period	(11.2)	17.2	(2.8)	3.2
Exchange differences	-	-	-	-
Provision at 31 August 2025	-	17.2	-	17.2
Provision at 28 February 2026	9.8	13.8	5.9	29.5
Movements in provision charged/(credited) to income statement:	-	-	-	-
Prior year provision utilised	(1.0)	(13.8)	-	(14.8)
Transferred to payables	-	-	(5.9)	(5.9)
Increase in provision period	0.1	15.6	-	15.7
Exchange differences	-	-	-	-
Provision at 31 August 2026	8.9	15.6	-	24.5

16.                  Interest-bearing loans and borrowings

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Non-current liabilities
Revolving credit facility	145.4	141.4	145.3

The RCF is unsecured against the company’s assets and includes financial covenants relating to interest cover and adjusted leverage.

In August 2025, the Group replaced its previous £125 million revolving credit facility, which was due to mature in October 2026, with a new three-year facility providing access to funding of up to £175 million and maturing in August 2028.

Movement in interest-bearing loans and borrowings

	6 months to 31 August 2026	Re-stated 6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Opening balance	145.3	122.9	122.9
Repayment of RCF	-	(6.9)	(9.0)
Repayment of term loan	-	(116.0)	-
Drawdown of RCF	-	136.4	-
Derecognition of old loan	-	-	(116.2)
Recognition of new loan	-	-	136.4
Drawdown on RCF	-	5.0	26.0
Repayment of RCF drawdown	-	-	(18.7)
Loss recognised on derecognition of old RCF	-	-	1.2
Loss of loan modification	-	-	0.9
Interest on old loan	-	-	4.6
Repayment of interest on old loan	-	-	(3.7)
Interest accrued	8.4	12.3	10.4
Interest paid	(8.3)	(12.3)	(9.5)
Transaction costs	-	-	-
Closing balance	145.4	141.4	145.3

Reconciliation of movements in cash flows from financing activities to movements in liabilities:

	Balance at 28 February 2026	Cash flow from financing activities	Additions, disposals and exchange differences	Statement of comprehensive income	Movement in retained earnings and other reserves	Balance at 31 August 2026
	£ million	£ million	£ million	£ million	£ million	£ million
Equity	(57.7)	-	-	27.0	2.3	(28.4)
Leases	74.4	(6.3)	(0.1)	1.1	-	69.1
Bank borrowings	145.3	(8.3)	-	8.4	-	145.4
	162.0	(14.6)	(0.1)	36.5	2.3	186.1

Financing cash flows of £16.3m include £1.7m of interest accrued at 28 February 2026 (within accruals) and paid in the period, which is not included in the borrowings movement above.

Reconciliation of net debt:

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Cash and cash equivalents	46.9	30.3	52.1
Interest bearing loans and borrowings	(145.4)	(141.4)	(145.3)
Net debt	(98.5)	(111.1)	(93.2)

17.                  Lease liabilities

Minimum lease payments due	Within 1 year	1-2 years	2-5 years	5-10 years	More than 10 years	Total
	£ million	£ million	£ million	£ million	£ million	£ million
31 August 2026
Lease payments	13.4	11.0	24.6	27.9	-	76.9
Finance charges	(1.9)	(1.6)	(3.2)	(1.1)	-	(7.8)
Net present value	11.5	9.4	21.4	26.8	-	69.1

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Current lease liability	11.5	8.9	11.0
Non-current lease liability	57.6	66.9	63.4
Total	69.1	75.8	74.4

Movement in lease liabilities:

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Opening balance	74.4	120.2	120.2
Interest accrued	1.1	1.2	2.4
Cash flow lease payments	(6.3)	(9.0)	(11.2)
Daventry re-assignment	-	(32.4)	-
Additions	0.2	0.1	1.7
Disposals	-	(0.1)	(37.3)
Lease modifications	-	-	3.1
Exchange differences	(0.3)	(4.2)	(4.5)
Closing balance	69.1	75.8	74.4

The lease liabilities relate to leasehold properties.

18.                  Share capital

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
At start of period	16.2	14.0	16.2
Share issues	-	-	-
At end of period	16.2	14.0	16.2

Share capital at period end: 1,619,720,334 authorised and fully paid ordinary shares of 1p each (2025: 1,397,295,661). No dividends have been paid or are payable by the parent company for the period ended 31 August 2026 (2025: £nil).

19.                  Reserves

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Translation reserve	(0.4)	1.2	0.6
Capital redemption reserve	0.1	0.1	0.1
Reconstruction reserve	(515.3)	(515.3)	(515.3)
Acquisition of non-controlling interest in PrettyLittleThing.com Limited	(249.4)	(249.4)	(249.4)
Revaluation gain on transition of investment to associate	10.2	10.2	10.2
Fair value on other comprehensive income reserve	2.4	-	0.2
Proceeds from issue of growth shares in boohoo holdings Limited	0.8	0.8	0.8
	(751.6)	(752.4)	(752.8)

The translation reserve arises from the movement in the revaluation of subsidiary balance sheets in foreign currencies; the capital redemption reserve arose from a capital reconstruction in 2014; the reconstruction reserve arose on the impairment of the carrying value of the subsidiary company in 2014 at that date; the acquisition of the non-controlling interest in PrettyLittleThing is the excess of consideration paid over the carrying value of the non-controlling interest as at the date of acquisition in May 2020 adjusted during the year for the cancellation of the shares to be issued; and the revaluation gain on transition of investment to associate arose in July 2023 when significant influence was determined to have been obtained over Revolution Beauty Group plc, with the equity accounting requirements of IAS 28 being applied from this date.

20.                  Financial instruments

Fair values

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Financial assets At amortised cost:
Cash and cash equivalents	46.9	30.3	52.1
Trade receivables	15.6	8.1	13.5
Accrued income	6.0	4.2	5.7
Net investment in finance lease	43.6	-	-
At fair value through profit or loss:
Cash flow hedges	-	-	-
At fair value through other comprehensive income:
Cash flow hedges	-	-	-
Equity investments	10.8	0.3	8.6
	122.9	42.9	79.9

	6 months to 31 August 2026	6 months to 31 August 2025	Year to 28 February 2026
	£ million	£ million	£ million
Financial liabilities
At amortised cost:
Trade payables	97.9	52.5	75.4
Other creditors	43.8	30.7	55.4
Accruals	101.1	107.3	93.4
Provisions	24.5	17.2	29.5
Other payables non-current	9.4	-	2.9
Interest-bearing loans and borrowings	145.4	141.4	145.3
Lease liabilities	69.1	75.8	74.4
At fair value through profit or loss:
Cash flow hedges	-	-	-
At fair value through other comprehensive income:
Cash flow hedges	-	-	-
	491.2	424.9	476.3

21.                  Capital commitments

Capital expenditure contracted for at the end of the reporting period but not yet incurred is as follows:

	6 months to 31 August 2026	6 months to 31 August  2025	Year to 28 February 2026
	£ million	£ million	£ million
Property, plant and equipment	-	-	-

22.                  Contingent liabilities

From time to time, the group can be subject to various legal proceedings and claims that arise in the ordinary course of business which may include cases relating to the group’s brands and trading names. All such cases brought against the group are robustly defended and a liability is recorded only when it is probable that the case will result in a future economic outflow and that the outflow can be reliably measured.

As at 31 August 2026, there are no contingent liabilities, which in the opinion of the directors are expected to have a material adverse effect on its liquidity or operations.

23.                  Related Party Transactions

There have been no material changes in the nature or level of related party transactions during the six months ended 31 August 2026 from those disclosed in the Group’s Annual Report and Accounts for the year ended 28 February 2026.

24.                  Events after the reporting period

On 10 September 2026, the Group completed the sale of the automation in its Sheffield distribution centre and the assignment of the related lease to Primark Stores Limited for cash consideration of £90m. £76.5m was received on completion and the remaining £13.5m will be received on vacant possession early in 2027. Fulfilment of the Group’s stocked product will transfer to GXO, a global third-party logistics provider, which will migrate fulfilment to the Group’s Burnley site after Peak and operate the site. The disposal will be recognised in the second half of the year, and will result in the derecognition of the related property, plant and equipment, right-of-use asset and lease liability. The financial effect of the disposal is being assessed and will be reported in the Group's financial statements for the year ending 28 February 2027.

At 31 August 2026, the Group’s Burnley site was classified as held for sale. In September 2026, following the Sheffield transaction, the directors decided to retain the site as the Group’s fulfilment centre, to be operated by GXO. As the decision was taken after the reporting date, the site remains classified as held for sale at 31 August 2026. It will be reclassified to property, plant and equipment from the date of the decision and measured, in accordance with IFRS 5, at the lower of its carrying amount before it was classified as held for sale (adjusted for depreciation that would otherwise have been recognised) and its recoverable amount. [The reclassification is not expected to have a material effect on the income statement.]

On 15 September 2026, the Group completed the disposal of the Nasty Gal brand and its associated intellectual property for $16m. The disposal will be recognised in the second half of the year, and the financial effect of the disposal is being assessed and will be reported in the Group's financial statements for the year ending 28 February 2027.

These are non-adjusting events after the reporting period.

 

END