Shoe Zone has confirmed the closure of 14 locations over the last six months as its losses surpass £5 million. The brand suffered a pre-tax loss of £5.3 million for the 26 weeks ending March 28, 2026, the company announced today (May 11).
Revenue Decline and Store Reductions
Revenues fell by 12 percent to £62.9 million, with the chain operating from 19 fewer locations compared to the previous year. The firm linked the losses to government budget announcements and the ongoing conflict in the Middle East.
According to the company, the Iran war is driving up business costs, particularly transportation and container prices, directly impacting the bottom line. They stated that trading continues to be "negatively impacted by a further weakening in consumer confidence, following the Government's last two budget announcements, as well as the geo-political issues in the Middle East."
Market Reaction and Future Plans
Shoe Zone shares fell approximately 3.5 percent in early trading. Despite the challenges, the company highlighted efforts to relocate and revamp its retail chain into newer, larger formats, with a target completion date by the end of 2027.
The firm is also in the "process of reducing the size of our Distribution Centre" to reflect the reduced number of stores and to "right size" for the future. This involves cutting down from six leases to three.
Revised Forecast
The company has revised its full-year forecast from a £1 million profit to an adjusted pre-tax loss of between £1 million and £2 million.
