The practical expedient applies only to rent concessions occurring as a direct consequence of Covid-19 and only if all the following conditions are met: a. The change in lease payments results in revised consideration for the lease that is substantially thesame as, or less than, the consideration for the lease immediately preceding the change. b. Any reduction in lease payments affects only payments originally due in on or before June 30, 2021 (arent concession meets this condition if it results in reduced lease payments on or before June 30, 2021, andincreased lease payments that extend beyond June 30, 2021); and c. There is no substantive change to other terms and conditions of the lease.

Rent concessions meeting the criteria have been recognised in the period to which they relate. Adoption of the practical expedient has resulted in a GBP4.0m credit to the Group operating loss.

New accounting standards in issue but not yet effective

At the date of authorisation of these financial statements, the Group has not applied the following new and revised IFRS Standards that have been issued but are not yet effective:

-- IFRS 17 Insurance contracts.

-- IFRS 10 and IAS 28 (amendments): Sale or Contribution of Assets between an Investor and its Associate orJoint Venture.

-- Amendments to IAS 1: Classification of Liabilities as Current or Non-current.

-- Amendments to IFRS 3: Reference to the Conceptual Framework.

-- Amendments to IAS 16: Property, Plant and Equipment - Proceeds before Intended Use.

-- Amendments to IAS 37: Onerous Contracts - Cost of Fulfilling a Contract; and

-- Annual Improvements to IFRS Standards 2018-2020 Cycle.

The application of these new standards and amendments are not expected to have a material impact on the Group.

6. Segment information

Revenue is generated from the same products (clothing and accessories) in all segments; the reporting of segments is based on how these sales are generated. Gross profit is the measure reported to the Group's CODM for the purpose of resource allocation and assessment of segment performance. The Group derives its revenue from contracts with customers for the transfer of goods and services at a point in time.

Change in segment reporting presentation

The Group's operating segments have been modified during the reporting period. Previously, the operating segments were defined as Retail and Wholesale, with Stores and Ecommerce being reported under the Retail segment. Due to an increase in the sales mix of Ecommerce as a proportion of Retail (accelerated by Covid-19), the Group is focusing on this as a significant channel of growth. Consequently, the level at which the Group's CODM receives information to make decisions has changed, and the Group is now reporting revenue and gross profit under three operating segments - Stores, Ecommerce and Wholesale. The term 'Retail' will be used to define the total of the Ecommerce and Stores segments. The prior year comparatives have been split to provide the same level of information for the three segments.

Segmental information for the business segments of the Group for financial years 2021 and 2020 is set out below. The 'Retail' subtotal of the 'Stores' and 'Ecommerce' segments presented below is considered useful additional information to the reader. 


                                Stores Ecommerce Retail   Wholesale Central costs Group 
                                2021   2021      Subtotal 2021      2021          2021 
                                GBPm     GBPm        2021     GBPm        GBPm            GBPm 
                                                 GBPm 
Total segment revenue           140.5  201.8     342.3    389.6     -             731.9 
Less: inter-segment revenue     -      -         -        (175.8)   -             (175.8) 
Revenue from external customers 140.5  201.8     342.3    213.8     -             556.1 
Gross profit                    93.6   117.5     211.1    82.0      -             293.1 
(Loss)/profit before tax                         (9.3)    40.8      (68.2)        (36.7)

The segment measure of profit required to be presented under IFRS 8 Segments is gross profit. (Loss)/profit before tax has been presented as an additional profit measure which is considered to provide useful information to the reader since it allows comparison of the Group's results in FY21 with the Group's results under the segmental structure in FY20 (where the 'Stores' and 'Ecommerce' segments were a single 'Retail' segment). Certain costs have not been allocated between the Stores and Ecommerce segments in FY21.

The following additional information is considered useful to the reader: 


                                     Adjusted* Adjusting items Reported 
                                     2021      GBPm              2021 
                                     GBPm                        GBPm 
Revenue 
Retail                               342.3     -               342.3 
Wholesale                            213.8     -               213.8 
Total revenue                        556.1     -               556.1 
Operating loss 
Retail                               15.4      (19.2)          (3.8) 
Wholesale                            42.1      (1.3)           40.8 
Central costs                        (62.9)    (3.6)           (66.5) 
Total operating loss                 (5.4)     (24.1)          (29.5) 
Net finance expense - Central costs  (1.7)     -               (1.7) 
Net finance expense - Retail         (5.5)     -               (5.5) 
(Loss)/profit before tax 
Retail                               9.9       (19.2)          (9.3) 
Wholesale                            42.1      (1.3)           40.8 
Central costs                        (64.6)    (3.6)           (68.2) 
Total loss before tax                (12.6)    (24.1)          (36.7)

* Adjusted is defined as reported results before adjusting items and is further explained in note 22.

The net impairment losses and reversals on store assets and onerous property related contract charges amount to GBP15.8m and all relate to the Retail segment. 


                                Stores  Ecommerce  Retail   Wholesale Central costs  Group 
                                2020*   2020*      Subtotal 2020      2020*          2020 
                                GBPm      GBPm         2020     GBPm        GBPm             GBPm 
                                                   GBPm 
Total segment revenue           287.2   151.6      438.8    510.9     -              949.7 
Less: inter-segment revenue     -       -          -        (245.3)   -              (245.3) 
Revenue from external customers 287.2   151.6      438.8    265.6     -              704.4 
Gross profit                    192.5   90.5       283.0    94.9      -              377.9 
(Loss)/profit before tax                           (125.1)  32.1      (73.9)         (166.9)

* The 2020 balances have been split out to reflect the change in operating segments from Retail to Stores and Ecommerce.

The following additional information is considered useful to the reader: 


                                            Adjusted* Adjusting items  Reported 
                                            2020      GBPm                2020 
                                            GBPm                          GBPm 
Revenue 
Retail                                      438.8     -               438.8 
Wholesale                                   265.6     -               265.6 
Total revenue                               704.4     -               704.4 
Operating (loss)/profit 
Retail                                      5.3       (124.8)         (119.5) 
Wholesale                                   31.4      0.7             32.1 
Central costs                               (71.0)    (1.0)           (72.0) 
Total operating (loss)/profit               (34.3)    (125.1)         (159.4) 
Net finance expense - Central costs         (1.9)     -               (1.9) 
Net finance expense - Retail                (5.6)     -               (5.6) 
Share of loss of investment - Central costs -         -               - 
(Loss)/profit before tax 
Retail                                      (0.3)     (124.8)         (125.1) 
Wholesale                                   31.4      0.7             32.1 
Central costs                               (72.9)    (1.0)           (73.9) 
Total (loss)/profit before tax              (41.8)    (125.1)         (166.9)

* Adjusted is defined as reported results before adjusting items and is further explained in note 22.

Revenue from external customers in the UK and the total revenue from external customers from other countries are: 


                                  Group 
                                  2021  2020 
                                  GBPm    GBPm 
External revenue - UK             197.5 254.5 
External revenue - Europe         283.5 346.7 
External revenue - Rest of world  75.1  103.2 
Total external revenue            556.1 704.4

For all channels the Geographic territories have been aligned to the internal management operational structure. In the prior year Russia and Ukraine were included within Europe. In 2021 these territories have been reallocated to Rest of World in line with the internal management structure. To ensure consistent comparatives, this methodology has been applied retrospectively to 2020.

The total of non-current assets, other than deferred tax assets, located in the UK is GBP68.9m (2020: GBP84.5m), and the total of non-current assets located in other countries is GBP93.6m (2020: GBP123.6m).

7. Adjusting items

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