Premier Investments lowers profit guidance and exits UK retail

Premier Investments has lowered its earnings guidance and reported a 2% year-on-year decline in retail sales for fiscal year 2026, with expected sales totaling $795.5 million. The retail conglomerate, which owns Peter Alexander and Smiggle, reduced its expected earnings before interest and tax (EBIT) from $183 million to $176 million, citing challenging discretionary retail conditions.

As part of a strategic shift, the company is closing its three Peter Alexander physical stores in the United Kingdom to focus investment on the Australia and New Zealand (ANZ) markets. While exiting the UK retail market, the brand will maintain an online presence and explore international wholesale opportunities. In the ANZ region, Premier plans to open at least five new stores in the first half of fiscal 2027, including a flagship location in Sydney.

Regarding Smiggle, management reported that a strategic reset is underway following the appointment of Georgia Chewing as Managing Director. The company is also focusing on loyalty programs, noting that Peter Alexander’s ‘Peter’s Dreamers’ and Smiggle’s ‘Smiggle Club’ have been utilized to drive customer engagement.