Decathlon: Losses almost double amid ‘significant transformation’
Losses almost doubled at Decathlon during its latest financial year as a “significant transformation” impacted its sales.
The retailer has reported a pre-tax loss of £23.7m for 2024, according to new accounts filed with Companies House.
The total comes after Decathlon also posted a loss of £11.9m for 2023.
The business last achieved a pre-tax profit with a surplus of £804,000 in 2016. Since then, its losses have totalled more than £80m.
The latest results also show the retailer’s turnover fell in 2024 from £284.4m to £260.6m.
Decathlon was founded by French billionaire Michel Leclercq in 1976 and opened its first UK store in 1999.
The wider group operates in 56 countries and has an annual turnover of €16.2bn (£14bn). It has 24 shops in the UK.
Decathlon battles ‘challenging external environment’
A statement signed off by the board said: “The 2024 financial year was a period of significant transformation for our UK business.
“As part of our long-term strategy to enhance the customer experience and adapt to evolving retail behaviours, we undertook a comprehensive reconfiguration of our store concept and launched a redesigned e-commerce platform.
“While these structural changes were necessary to strengthen future commercial performance, it led to short-term operational disruption.
“This contributed to a decline in total turnover of 8.4 per cent, with in-store sales down 8.3 per cent and online sales down 10.2 per cent, particularly during renovation phases and the initial transition period following the website launch.”
Decathlon added that its performance was also affected by a “challenging external environment” in which consumer sentiment “remained fragile” because of “persistent” inflation, elevated interest rates and pressure on real household incomes.
The company also said that categories such as sporting goods “experienced softer demand” and that its overall retail footfall continued to decline for a second consecutive year.
However, Decathlon added that from August 2024 onwards, the business recorded a gradual and consistent recovery, especially online.
The business said: “The changes implemented in 2024 have laid a solid foundation for sustainable growth in 2025 and beyond.”
Those changes included £8.4m being put towards the modernisation of 15 flagship stores.