Sales hike fails to whip Ann Summers into shape

This follows new accounts for the British retailer’s two Irish firms showing combined pre-tax losses of €421,669 in the 12 months to the end of June 29 last.

This follows the firms enjoying combined profits of €806,902 in 2012 — a negative swing of €1.228m.

The Fifty Shades publishing phenomenon was at its height during the period under review and has since recorded worldwide sales of 100m copies sold.

In the aftermath of the trilogy topping the book charts in the summer of 2012, Ann Summers reported an increase in sales in a host of products associated with the books across its store network.

The retailer commented that “that there is clearly an appetite for a sexier life in Ireland” as it reported that between the beginning of July 2012 to the end of October that year they enjoyed a 200% increase in the sale of jiggle balls which featured in Fifty Shades.

In the months after Fifty Shades hitting No 1 in the book charts, the retailer also reported a 60% increase in the sale of blindfolds; a 35% increase in the sale of rope ties; a 30% increase in sale of leather and metal handcuffs and a 15% increase in the sale of both whips and restraints.

However, that short-term jump in sales for those items didn’t translate into higher revenues for Ann Summers here.

Accounts for Ann Summers Ireland (Retail) Ltd show that the firm recorded a pre-tax loss last year of €90,270 after recording a pre-tax profit of €487,906 in 2012.

The loss followed revenues at the firm decreasing marginally from €2.895m to €2.83m.

The directors state in their report that “as experienced during the period ended June 29, 2013, the directors anticipate future trading to mirror the economic conditions prevailing at the time”.

Prior to last year both firms had built up combined accumulated profits of €7.1m over the years — Ann Summers Ireland (Retail) Ltd operates three stores at Dublin, Cork and Limerick.

Accounts for a separate Irish Ann Summers firm, Ann Summers (Ireland) Ltd show that it recorded a pre-tax loss last year of €331,399 following a pre-tax profit of €318,996 in 2012.

This follows revenues at the firm dropping by €285,555 or 21% from €1.337m to €1.051m.

The two directors of the companies are Jacqueline Gold and Vanessa Gold.

Jacqueline Gold has been chief executive of the business since 1987 and today Ann Summers operates 141 stores in Britain.

Separate accounts for the UK operation, which includes the results of Ann Summers Ireland Ltd, show that pre-tax profits last year declined by 40% from £4m to £2.39m as revenues dipped from £117.67m to £114.9m. The firm had shareholder funds totalling £50m that included £16.5m in cash.

In 2000, Dublin City Council withdrew a High Court action against Ann Summers stopping the company from operating its first Irish outlet on O’Connell Street.

When it served notice on the company, the council believed the continued use of the premises as a sex shop was inappropriate and unsuitable to the main street of Dublin.

However, the action was successfully challenged by Ann Summers in the courts.