US causes declines for Dr. Martens in fiscal year 2024

E-commerce revenue fell 1% to 276.3 million pounds ($351.43 million), but rose 1% at constant exchange rates. EMEA grew 9.6% (constant currency) and APAC grew 12.5%, offset by a 9.9% decline in the U.S.

Retail revenues rose 6.2% to £256.8 million ($326.64 million), up 9.5% on a constant currency basis. Meanwhile, wholesale revenue fell 28.3% to £344 million ($437.55 million), a decline of 26% at constant exchange rates.

By region, Dr Martens saw revenue decline 2.5% in EMEA to £431.8 million ($549.23 million), while in the Americas revenue declined 23.9% to £325.8 million ( 414.4 million dollars), in the Asia-Pacific region they fell by 7.4% to 119.5 million pounds (152 million dollars).

EBITDA for the year fell 19.4% to £197.5 million ($251.2 million) and margin fell two points to 22.5%. Profit after tax fell 46.3% to £69.2 million ($88 million).

In financial year 2025, Dr Martens will implement a group-wide cost action plan, including cuts of £20-25 million ($25.4-31.8 million), which the company says will focus on efficiency and organizational design, better procurement and operational improvements .

CEO Kenny Wilson said: “Our FY24 results were in line with expectations and reflected continued weak consumer demand in the US. This particularly impacted our US wholesale business and offset the performance of our DTC group, where pair volumes increased by 7%. We achieved strong results in EMEA and APAC and our supply chain strategy continues to deliver significant savings.

“We are confident that we need to stimulate demand in the US to return to growth in FY26 and beyond, and we are implementing a detailed plan to achieve this, including reorienting and increasing marketing investment in the US in the coming year. We are also announcing a group-wide cost action plan with savings of £20-25 million ($25.4-31.8 million). I am confident that the actions we take at the beginning of this year of transformation will position us well for years to come.”