Sir Philip Green’s retail empire confirmed its long-awaited new clothing range with singer Beyonce will launch next spring.
Arcadia announced late last year it was teaming up with the g lobal superstar for a 50/50 joint venture, called Parkwood Topshop Athletic – a new fitness and streetwear brand.
News of the launch date came as Arcadia owner Taveta Investments – the company that holds Sir Philip’s retail brands including Topshop, Dorothy Perkins and Burton – posted a 2% rise in underlying pre-tax profits to £202 million for the year to August 29 despite flagging store sales.
Sir Philip said the result came amid “challenging times” as the group reported a 0.9% fall in UK underlying like-for-like retail sales over the year, with total comparable sales 0.7% lower.
And it revealed a gloomier picture so far in the new year as sales have dropped 2.3% in the first 10 weeks.
The results do not include figures for BHS, which was sold in March.
Sir Philip offloaded the loss-making store chain to a consortium of little-known investors called Retail Acquisitions for a nominal sum reported to be as little as £1.
In its update on the Beyonce tie-up, Taveta said: “We are developing our distribution globally for the launch of this exciting new brand in spring 2016.”
The deal has been seen as unusual, as it will lead to the launch of a new company, whereas retailers and celebrities traditionally agree branding links or design collaborations.
Parkwood Topshop Athletic will offer clothing, footwear and accessories across dance, fitness and sports categories, sold across Topshop stores and Topshop.com.
Taveta also said it was seeing “very encouraging results” so far of its trial to trade Dorothy Perkins, Burton and Evans brands within Tesco stores.
It has opened 14 outlets in five Tesco supermarkets to date.
Sir Philip said the group had delivered a “robust performance in challenging times”.
He added: “Over the past year, we have continued to trade successfully in the UK across all brands, whilst expanding our operations internationally.”
The group now has 2,358 stores following the BHS sale and after shutting 86 sites as leases have ended.