The Accounts · daily brief
12 October 2026
Costs outpace sales at Totalmobile as Next reshapes retail
The takeaways
- Totalmobile turnover grew 31% to £33.5m but operating losses tripled as staff costs rose by 43%
- Next's Victoria's Secret joint venture closed its London flagship, while headcount fell by over 100
- Across Next's retail JVs, digital sales grew while physical Gap and Victoria's Secret revenues fell
Hiring signals · who grew, who shrank
Hiring
- Totalmobile Limited 141 → 180 staff ▲ +28% staff cost +43%
Cutting
- Intimate Apparel Retail Uk Limited 683 → 571 staff ▼ −16% staff cost −11%
Average headcount from the accounts filed yesterday — a look back at last year's payroll, not a live hiring tracker.
Vs Brands Holdings Uk Limited [1]
VS Brands Holdings UK Limited is the holding company for the UK retail and digital operations of the Victoria's Secret lingerie brand, operating as a joint venture majority-owned by Lipsy Limited, part of the Next retail group.
Trimmer and profitable
| Line | FY25 | FY24 | YoY |
|---|---|---|---|
| Profit & loss | |||
| Turnover | £111m | £114.3m | ▼ −3% |
| Gross profit | £42.7m | £47m | ▼ −9% |
| Admin expenses | £22m | £26.8m | ▼ −18% |
| Operating profit | £16.5m | £15m | ▲ +10% |
| Finance costs | £242k | £45,000 | ▲ +438% |
| Profit before tax | £16.2m | £15m | ▲ +9% |
| Net profit | £13m | £11.5m | ▲ +12% |
| Cash & balance sheet | |||
| Cash | £31.3m | £24.7m | ▲ +27% |
| Net assets | £42.2m | £28.6m | ▲ +48% |
| Dividends paid | £0 | −£5m | ▲ +100% |
| People & pay | |||
| Avg. headcount | 632 | 739 | ▼ −14% |
| Staff cost | £12.9m | £14.1m | ▼ −9% |
| Director pay | £0 | £0 | |
As the holding company for Next's joint venture with Victoria's Secret, this consolidated set shows a shifting operational footprint. Turnover dipped slightly to £110.9m, while operating profit climbed 10% to £16.5m and average headcount fell by 107. The strategic report notes the closure of five standalone stores, including the London flagship, alongside the opening of five new sites. Like many subsidiary structures, going-concern status is supported by a joint letter from Next plc and Victoria's Secret.
Intimate Apparel Retail Uk Limited [2]
Operating under the ultimate control of listed retail group Next plc (nextplc.co.uk), the company runs the physical UK stores for lingerie brand Victoria's Secret, having been established to acquire the UK store portfolio out of administration.
Store reshuffle
| Line | FY25 | FY24 | YoY |
|---|---|---|---|
| Profit & loss | |||
| Turnover | £67m | £74.8m | ▼ −10% |
| Gross profit | £30.2m | £35.9m | ▼ −16% |
| Admin expenses | £23.6m | £28.1m | ▼ −16% |
| Operating profit | £2.7m | £3m | ▼ −10% |
| Finance costs | £231k | £45,000 | ▲ +413% |
| Profit before tax | £2.4m | £2.9m | ▼ −17% |
| Net profit | £2.6m | £2.3m | ▲ +13% |
| Cash & balance sheet | |||
| Cash | £6.3m | £14.2m | ▼ −56% |
| Net assets | £15.4m | £12.8m | ▲ +20% |
| Dividends paid | — | −£8.5m | |
| People & pay | |||
| Avg. headcount | 571 | 683 | ▼ −16% |
| Staff cost | £11.4m | £12.8m | ▼ −11% |
The physical retail arm reflects the impact of the flagship closure and store reshuffle. Turnover fell 10% to £67m, while operating profit contracted to £2.7m. A £147k tax credit was recorded on the bottom line, alongside a 16% reduction in average headcount during the period.
Intimate Apparel Digital Uk Limited [3]
Intimate Apparel Digital UK Limited is an online retail subsidiary of the London Stock Exchange-listed clothing and homeware group Next plc (next.co.uk), held via the group's VS Brands Holdings UK entity.
Digital growth
| Line | FY25 | FY24 | YoY |
|---|---|---|---|
| Profit & loss | |||
| Turnover | £36.7m | £33m | ▲ +11% |
| Gross profit | £9.3m | £8.2m | ▲ +13% |
| Admin expenses | £7.8m | £6.9m | ▲ +14% |
| Operating profit | £1.5m | £1.3m | ▲ +11% |
| Profit before tax | £1.5m | £1.3m | ▲ +11% |
| Net profit | £1.1m | £1m | ▲ +10% |
| Cash & balance sheet | |||
| Cash | £17.1m | £9,000 | ▲ +189589% |
| Net assets | £8.4m | £7.3m | ▲ +15% |
While the physical stores contracted, the digital side of the lingerie joint venture recorded top-line expansion. Turnover grew 11% to £36.7m, with operating profit rising in tandem to £1.4m. The entity operates with a lower cost base, relying on the same parent letters of support to underpin its going-concern status.
Totalmobile Limited [4]
Operating via totalmobile.co.uk, the company is the principal trading entity of Totalmobile Holdings Limited, developing IT solutions that include workforce mobilisation and scheduling software for various industries.
Costly growth
| Line | FY24 | FY23 | YoY |
|---|---|---|---|
| Profit & loss | |||
| Turnover | £33.5m | £25.6m | ▲ +31% |
| Gross profit | £20.3m | £16.1m | ▲ +26% |
| Operating profit | −£2.8m | −£875k | ▼ −215% |
| Finance costs | £8,137 | £7,473 | ▲ +9% |
| Profit before tax | −£2.7m | −£816k | ▼ −232% |
| Net profit | −£3.4m | −£354k | ▼ −858% |
| Cash & balance sheet | |||
| Cash | £6.4m | £3.3m | ▲ +93% |
| Net assets | £21.8m | £5.7m | ▲ +282% |
| People & pay | |||
| Avg. headcount | 180 | 141 | ▲ +28% |
| Staff cost | £16.4m | £11.5m | ▲ +43% |
| Director pay | £461k | £207k | ▲ +122% |
| Highest-paid director | £484k | £229k | ▲ +111% |
Top-line growth at this workforce software developer was accompanied by an expanded cost base. Turnover rose 31% to £33.5m, while operating losses tripled to £2.7m. Average headcount rose by 39, and total staff costs increased 43% to £16.4m. The period also saw an increase in board pay, with total directors' remuneration more than doubling to £461k.
West Apparel Uk Holdings Limited [5]
Operating from the Leicestershire headquarters of its majority owner Next plc, the company serves as the joint venture holding entity formed with US retailer The Gap, Inc. to manage the Gap clothing brand's retail and e-commerce operations in Britain.
Shrinking top line
| Line | FY25 | FY24 | YoY |
|---|---|---|---|
| Profit & loss | |||
| Turnover | £32.6m | £37.9m | ▼ −14% |
| Gross profit | £3m | £4.1m | ▼ −27% |
| Admin expenses | £1.1m | £1.4m | ▼ −23% |
| Operating profit | £1.1m | £1.2m | ▼ −11% |
| Finance costs | £725k | £704k | ▲ +3% |
| Profit before tax | £357k | £513k | ▼ −30% |
| Net profit | £300k | £303k | ▼ −1% |
| Cash & balance sheet | |||
| Cash | £4.8m | £2.2m | ▲ +123% |
| Net assets | £325k | −£138k | ▲ +336% |
| People & pay | |||
| Avg. headcount | 14 | 18 | ▼ −22% |
| Staff cost | £1.2m | £1.1m | ▲ +5% |
| Director pay | £0 | £0 | |
| Highest-paid director | £0 | £0 | |
Next's other major joint venture manages the Gap brand in Britain, recording a quieter period than the lingerie wing. Turnover contracted 14% to £32.6m, while operating profit narrowed to £1.1m. A £725k finance cost absorbed a significant portion of the trading margin, leaving a static net profit of £300k to finish the year.
Sometimes closing a flagship store is the surest route to a better margin. I'll be in my basket.
Sources
- Vs Brands Holdings Uk Limited
- Intimate Apparel Retail Uk Limited
- Intimate Apparel Digital Uk Limited
- Totalmobile Limited
- West Apparel Uk Holdings Limited