Lush full-year losses widen as it hikes US prices following tariffs
Lush has unveiled plans to launch a UK hotel as its annual pre-tax loss widened in its latest results.
Lush has unveiled plans to launch a UK hotel as its annual pre-tax loss widened in its latest results.
The cosmetics specialist revealed that it was working with a “British partner” to open a hotel, which would represent a first for the retailer.
It comes as Lush’s pre-tax loss widened from £28m to £42.5m during the year to 30 June 2024. The company’s sales also 8.5% dropped from £708.1m to £647.5m.
Retail revenues dropped 4.9% from £576.2m to £548m over the period, while digital sales sunk 5.6% from £107.3m to £101.3m.
The ethical beauty retailer also set out its response to Donald Trump’s tariffs in its results, stating that the president’s 25% tariff on Canada would lead it to “passing this tax directly to our American customers”.
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Lush said it had taken the “sad decision” to axe its Dusseldorf manufacturing site last year and consolidate its North American production into its Toronto site. Its Dusseldorf’s production was shifted to its Poole factory in the UK.
The cosmetics company added that it did not plan to launch a factory in the US.
It comes after Trump defended his new tariffs earlier this week, describing them as “medicine,” despite rising costs putting further strain on retailers.
Last week, it was reported that books retailer Waterstones had stopped its international orders to the US following the tariffs.
On its website, the company said that it was unable to accept orders delivering to the US following the news that UK business sending goods stateside would be subject to a 10% tax.
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