Analysts expect Dr Martens to report profits plunge this week

Dr Martens releases its latest results this week (30 May) and analysts are expecting a tough-to-read report with profit down sharply and revenue down too as the giant US market remains weak for the brand.

With the firm having delivered a profit warning last month, they’re expecting turnover to be under £900 million, compared to a stronger result this time last year when it reported revenue up 10% to just over £1 billion for the very first time. Profits are forecast to be around £125 million, also well down on a year ago.

The company has previously talked of wholesale issues in the US, partly due to wider weakness in that market but also because of some self-inflicted wounds, such as the problems at its still-new LA distribution centre.

So is there likely to be any improvement in the months ahead? Not really. The firm has already said its AW24 orders are “significantly down” year on year and the company is working hard to reignite demand in the US.

That hard work includes a forthcoming CEO change with Chief Brand Officer Ije Nwokorie set to step up and take over from the outgoing Kenny Wilson.

The company’s shares fell again on Tuesday to just over 85p each, valuing it at just under £822 million. At its height almost three years ago, the shares changed hands for over £5 each. At least they’re higher than the 67p price seen just after the April profit warning, but analysts aren’t expecting any signifiant move upwards in the share price for some time.