The company said it made losses of £6.8m before exceptional items in the year to February 28 compared with profits of £300,000 a year earlier.

Blacks said the boardwear business, comprising Freespirit and O’Neill stores and the UK wholesale operation of O’Neill, continued to underperform after losses widened to £7.8m from £3.3m.

The company has already rebranded eight of the 50 stores to its outdoor format amid plans for a structured exit from the market.