Sosandar PLC (AIM: SOS), the UK women's fashion brand, has reported half-year results for the six months ended 30 September 2026, showing revenue growth of 11% year-on-year to £20.8m alongside a material improvement in gross margin to 65.1%. The AIM-listed retailer, which sells through its own website, physical stores, and third-party partners including NEXT, M&S, and John Lewis, also narrowed its adjusted pre-tax loss to £0.7m from £1.1m in the prior year period. The company confirmed trading remains in line with its full-year FY27 market expectations following a stronger October.

Key Points

  • Sosandar PLC (AIM: SOS) — UK women's fashion brand founded in 2016 and listed on AIM in 2017
  • H1 FY27 revenue rose 11% to £20.8m, with gross margin expanding 290 basis points to 65.1%
  • Adjusted loss before tax improved to £0.7m; cash of £7.1m at period end after £0.9m returned via share buybacks
  • Investors may be watching October trading momentum and H2 profitability, where the company has historically generated full-year profit

Sosandar Revenue Reaches £20.8m as Third-Party Partner Sales Surge 24% in H1 FY27

Sosandar's multi-channel model delivered broad-based revenue growth in the first half, with third-party partner revenue rising 24% year-on-year and store revenue increasing 10% on a like-for-like basis excluding Bath, which was exited during the period. Own website revenue was flat overall for H1, though the announcement states it was up 5% excluding September, when prolonged warm weather delayed transition into Autumn purchasing across all channels. Revenue for the first five months to end-August was 17% ahead of the prior year, highlighting the specific and time-limited nature of the September disruption rather than a structural weakening of consumer demand for the brand.

Gross Margin Rises to 65.1%, Now 10 Percentage Points Above H1 FY24 Level

The gross margin improvement of 290 basis points to 65.1% — from 62.2% in H1 FY26 — reflects a combination of stronger intake margins, a favourable Sterling-to-Dollar exchange rate, and a deliberate full-price strategy that the company maintained even through the softer September period. The announcement states that gross margin now stands 10 percentage points above the H1 FY24 figure of 55.4%. Post-period October gross margin was reported at 68.0%, ahead of the prior year's 67.2%, suggesting the margin improvement trajectory has continued into the seasonally stronger second half. Similar intake margin rates have been secured for H2 FY27, according to the disclosure.

Sosandar Returns £0.9m to Shareholders via Buybacks While Maintaining Zero Debt

The company ended the period with a cash balance of £7.1m, down from £8.4m at 31 March 2026, a movement the announcement attributes to the normal H1 working capital cycle and £0.9m deployed in share buybacks. As at 30 September 2026, 32.7 million shares were held in treasury, representing 13.2% of total issued shares. A further 0.7 million shares were repurchased in October, bringing the treasury total to 33.4 million. Sosandar confirmed it carries zero debt, with net assets of £15.5m and inventory rising to £11.5m reflecting planned Autumn/Winter stock investment. The post-period cash balance stood at £6.4m as at the October trading update.

October Trading Strengthens and Sosandar Reaffirms Full-Year FY27 Market Expectations

Following the weather-driven softness in September, the company stated that trading strengthened significantly through October as more autumnal conditions arrived. Co-CEOs Ali Hall and Julie Lavington confirmed confidence in delivering full-year market expectations, with profitability historically weighted to H2. Operating costs increased by £1.6m to £14.3m in H1, primarily driven by higher concession partner commissions linked to volume growth. With intake margins secured and the stronger trading half ahead, the announcement suggests the company believes its strategic repositioning as a full-price, multi-channel retailer continues to underpin the business — though macroeconomic and consumer backdrop uncertainty remains a risk to the outlook.