Country Road’s Flagship Closures Confirmed
Country Road will close several Sydney stores as owner Woolworths Holdings cuts costs amid falling sales and profit. The iconic Australian fashion retailer confirmed the closure of its flagship Queen Victoria Building store in central Sydney. Sister brand Trenery will also shut its outlet on Military Road in Mosman, a suburb on Sydney’s lower north shore.
The Pitt Street Mall store will remain open until 2028 when the lease expires. The Mosman Country Road store is temporarily closed for renovations.
Country Road set to close three of its Sydney stores [Andrew Henshaw]
Sales and Profits Fall
Woolworths Holdings reported that Country Road Group sales dropped 6.2 per cent in the first half of FY2024–25. Sales then fell a further 8 per cent in the 26 weeks to 29 December 2024. Operating profits plunged by 71.7 per cent to $14.2 million over the same period.
Woolworths owns Country Road, Trenery, Witchery, Mimco and Politix. It purchased Country Road and Trenery in 2014. The company previously owned David Jones, which it sold in 2022.
Hybrid Work Affects Fashion Demand
A shift to hybrid work styles has reduced the demand for corporate and formal wear. Fewer office-bound professionals have contributed to slowing fashion sales, especially in premium segments.
Country Road’s performance aligns with industry-wide retail contraction. Mosaic Brands entered voluntary administration in late 2024 and has closed hundreds of stores. The group shut down 80 Katies stores and another 80 outlets from brands like Millers, Rivers and Noni B. It had 700 stores nationwide before appointing KPMG as administrators.
Country Road began as a single brand in 1974 as a niche women’s shirting business
Brand History and Market Presence
Country Road was founded in 1974 as a women’s shirting brand. It grew into one of Australia’s earliest lifestyle labels, expanding into menswear, children’s apparel, homewares and accessories. It became one of the first local fashion brands to enter the American market.
Today, Country Road operates more than 650 stores across Australia, New Zealand and South Africa. It is widely regarded as one of Australia’s most recognised retail brands.
Leadership Changes and Strategic Shifts
In June 2025, Country Road Group appointed Steven Cook as chief executive. Cook previously served as co-CEO of British department store chain Debenhams. He succeeded former CEO Raju Vuppalapati.
The leadership change signals a renewed effort to streamline operations and return the business to profitability.
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Industry Challenges Continue
Country Road’s closures follow a broader trend of retail contraction. Many brands have struggled with rising costs, shifting consumer behaviour and subdued spending. The closures underscore the retail sector’s fragile recovery and the need for cost discipline.
Mosaic Brands, which owns a range of labels including Rockmans, Autograph and BeMe, previously shut 231 stores as part of its survival strategy. The group’s receivers confirmed store closures were due to ongoing losses.
KPMG, Mosaic’s administrator, said, “The stores identified to close have been loss-making, resulting in the decision to close them in January.” The firm added, “The receivers and managers would like to thank all employees, particularly those whose tenure is coming to an end, for their commitment and support.”
Outlook for the Retail Sector
Country Road’s store closures reflect shifting consumer trends, with reduced foot traffic in key CBD locations and fewer in-store purchases. Online shopping continues to rise, although the brand remains committed to its physical retail strategy.
Country Road stores will continue trading outside Sydney, while parent company Woolworths evaluates future store performance. The company has not announced job losses related to the Sydney closures.
The news that Country Road is quitting a number of the most popular shopping areas in Sydney is one of the most significant developments in the shift in consumer patterns. It will depend on such elements as tight cost control and consumer mood, as well as its ability to adapt to ongoing retail upheava,l to determine what will happen with the company next year.
