Sosandar (LSE:SOS) delivered a solid performance for FY26, with revenue increasing 14% to £42.3 million. Growth was driven by a 24% rise in sales through its own website, supported by higher customer traffic, improved conversion rates, and increased purchasing activity from both new and returning shoppers. The brand also maintained strong momentum with third-party partners, ranking among top sellers with retailers such as NEXT, while trading with Marks & Spencer stabilised following disruption from an earlier cyber incident.
The company’s profitability improved significantly, reporting a profit before tax of £0.4 million compared with a loss in the prior year. Gross margins expanded to 63.9%, and net cash rose to £8.4 million, even after share buybacks, highlighting the strength of its cash generation. While its physical stores showed improved performance in their second year—particularly in smaller market towns—they continue to weigh on overall profitability. As a result, Sosandar has decided to pause further store openings and instead focus on improving returns from its existing locations and driving sustainable growth.
From an outlook perspective, the company benefits from positive share price momentum and supportive corporate developments, including strategic execution and insider confidence. However, challenges remain around maintaining consistent profitability and strengthening cash flow, while valuation metrics are less compelling.
More about Sosandar PLC
Sosandar PLC is a UK-based womenswear retailer offering fashion-led, affordable clothing aimed at style-conscious women seeking higher quality than typical value brands. The company primarily sells its own-label products through its website, standalone stores, and partnerships with major retailers such as NEXT and Marks & Spencer.
Founded in 2016 and listed on AIM in 2017, Sosandar focuses on a segment of the market looking for trend-driven, feminine designs. Its strategy combines data-led product development, targeted marketing, and a multi-channel distribution approach to reach customers across both direct and partner platforms.
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