International shoppers boost Ted Baker sales
Shares in the company, founded by Ray Kelvin in Glasgow 25 years ago, surged by 16pc to an all-time high of £17 as investors digested the trading update for the 20 weeks to June 15.
Ted Baker shares have now risen by 150pc since the start of 2012 as the City banks on the brand following in the footsteps of luxury names, such as Burberry and Mulberry, by enjoying success around the world.
The company said new markets had responded well to the brand, with new stores in Shanghai and Tokyo, as well as France, Spain and the Netherlands.
The growth in sales for the last 20 weeks was above expectations, with wholesale sales up 41pc and in-store sales up 30.7pc.
The high street designer has also recently accelerated its expansion into the United States and Asia, increasing its stores to more than 300 in 35 countries worldwide.
Mr Kelvin is now moving the company into the Middle East, with store openings in Beirut, Kuwait, Abu Dhabi and Dubai.
“We are continuing to invest in developing the Ted Baker brand internationally and have been encouraged by the reaction to the brand and the collections in our new markets,” he said. “We remain very confident of our prospects.”
Ted Baker was initially focused on menswear but it is enjoying increasing success with its womenswear range. Mr Kelvin, who famously began working in his uncle’s menswear store at the age of 11, attributes its success to selling “great, affordable clothes”
Alistair Davies, analyst at Oriel, said: “Brand-building and trading momentum at Ted Baker continues, with Q1’s highly impressive update highlighting the group’s growth potential online and overseas backed by a strong UK/Europe core.
“This rate of growth is ahead of the wider apparel sales online, reflecting the increasing popularity of the Ted Baker brand and investments made behind the scenes, which continue”.”
A re-launch of the Ted Baker webiste is planned later in the year.