LONDON (Alliance News) - Beale PLC Friday said total group sales including concessions and VAT were down 6.2% in the 19 weeks to March 15, with like-for-like sales including concessions and VAT down 4.0%, after the closure of two stores last year.
The department store operator said it saw a very slow start to the financial year with like-for-like sales after seven weeks down 9.7% compared with a year earlier.
"Some of this decline was attributable to the cessation of 'mega' promotions which, in the prior year, generated heightened sales at little or no margin and the exit from the TV/Audio sector," Beale said.
However, it also said customers were restricted by lower disposable incomes and the increasing tendency to shop later in the pre-Christmas period.
Beale said the 14 days of Christmas saw like-for-like sales increase 4.1% as shoppers returned to local high streets for late Christmas shopping. On the other hand, post-Christmas, customers were seeking to secure a bargain with 'sale rails' the first port of call for many customers entering the stores.
However, the firm said the first three weeks of the new calendar year saw like for like sales increase 9.0%, "which even allowing for the snow and ice in the prior year, reflects good growth."
Conversely, the end of January and most of February were materially affected by the flooding which hit the UK, resulting in like-for-like ales falling 5.6% on a year earlier.
"The start of March has seen a continuing improvement in trade as the warmer temperatures, the appearance of sunshine and the introduction of brighter and more colourful spring/summer product is introduced into the stores," it added.
The stock was trading flat at 9.25 pence Friday afternoon.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com;
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