City Chic Collective saw its earnings nearly double in the last fiscal year despite its revenue being negatively impacted by US tariffs.

The group’s underlying earnings before interest, taxes, depreciation, and amortization (EBITDA) surged 92 per cent to $12.3 million in the year ended June 28, driven by margin expansion and disciplined cost management.

Global sales revenue slid 3 per cent to $130.5 million. ANZ revenue grew 7.6 per cent to $113.8 million, with comparable sales up 5.6 per cent, supported by growth across both stores and online, higher average selling prices and continued customer acquisition.

US revenue plunged 42 per cent, attributed to the group’s deliberate reduction in purchasing activity in response to tariff-related uncertainty. During the year, City Chic transitioned its Amazon business from wholesale to a marketplace model, which is expected to improve profitability over time.

Inventory was tightly managed, down 11 per cent to $24.1 million, reflecting lower inventory investment in the US. 

“We are increasingly leveraging technology and AI-enabled tools across the business to improve decision making, support better product buying decisions, reduce returns and strengthen customer outcomes,” said CEO and MD Phil Ryan.

“We have built a simpler, more profitable and more resilient business. While there is still more work to do, we believe we have established a strong foundation for sustainable long-term growth.” 

For the first seven weeks of FY27, ANZ comparable store sales growth remained strong at 11.4 per cent. US revenue momentum has also improved, with a return to growth in revenue and margin expected in the first half.