20th Nov 2018 10:37
LONDON (Alliance News) - Bonmarche Holdings PLC on Tuesday posted a drop in interim pretax profit, hampered by weaker consumer sentiment and falling footfall, as it renewed its guidance for reduced annual profit.
Shares in the womenswear retailer were trading up 0.7% at 82.00 pence each.
For the six months ended September 29, the retailer posted pretax profit down to GBP2.3 million from GBP4.2 million.
Revenue increased slightly to GBP97.9 million from GBP97.8 million a year prior.
In the half-year, like-for-like sales dipped 1%, with stores sales down 4% and online up 29%.
"Whilst store trading has been impacted by the general weaker consumer sentiment and footfall seen across the market, we have continued to improve our proposition, particularly our digital capabilities and with a broader, modernised product offer, which is reflected in our strong online performance," Chief Executive Officer Helen Connolly said.
The fashion retailer kept its interim dividend at 2.5 pence per share, the same as a year ago. The company said it is its intention to keep its total dividend for the current year unchanged at 7.75 pence per share.
Looking ahead, Bonmarche said that if Black Friday and Christmas sales meet the board's expectations, its full-year results will come in in line with previously issued guidance.
Back in September, the retailer said it expected to achieve underlying pretax profit of GBP5.5 million for its current financial year to the end of March, down sharply on the GBP8.0 million delivered last year.
"Despite the challenging market, the health and fundamentals of the business remain strong and the board remains confident in the strategy and in Bonmarché's long-term prospects," Connolly added.
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