23rd Mar 2020 14:08
(Alliance News) - Moss Bros Group PLC on Monday said it has closed all its stores temporarily until further notice due to the virus pandemic and anticipates a "significant" fall in revenue and profitability for the year ending January 31, 2021.
Whilst the initial impact was relatively benign, the menswear retailer said, over the last week we have seen a significant reduction in footfall across retail stores and in orders in Hire business.
The company also warned that trading could deteriorate further if mass gatherings such as Ascot horse race are voluntarily cancelled or prohibited.
London-based Moss Bros stopped short of giving specific financial guidance saying is "too early to determine the precise quantum at this stage". Prior to March 13, the company had traded in line with expectations.
Moss Bros is debt free and retains cash in the bank. Over the longer term, it believes it is well positioned to benefit from the normalisation and growth of the UK retail market.
Earlier in March, the company agreed to a GBP22.6 million, or 22 pence per share, takeover offer from Brigadier Acquisition Co Ltd, the owner of casual-wear retailer Crew Clothing.
Shares in the company were up 0.3% at 19.38p each in London on Monday afternoon.
By Tapan Panchal; [email protected]
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