LONDON (Alliance News) - Bonmarche Holdings PLC on Friday reported growth in sales in the third quarter of its financial year, although sales fell over both the Christmas trading period and in the year so far.
The women's value clothing retailer said total sales in the third quarter, comprising the 13 weeks to December 24, grew by 3.3% year-on-year, with 0.8% growth in store like-for-likes but a 3.8% decline in online sales.
However, in the key Christmas trading period, comprising five weeks to the same date, total sales fell by 1.5%, with a 3.4% decrease in store like-for-likes and a 14% drop in online sales.
In the year so far, total sales were down 1.3%, with a 5.3% fall in store like-for-likes and a 2.1% decline in online sales.
Bonmarche said sales volumes were hit by fewer promotions in the period, with the winter sales beginning on Boxing Day rather than before Christmas, but the retailer noted that this did strengthen product gross margin, which improved by 2.2 percentage points year-on-year in the third quarter.
Bonmarche added that its full-year expectation remains unchanged, with pretax profit before exceptional items likely to fall between GBP5.0 million and GBP7.0 million.
"Given the backdrop of the current trading environment, our third quarter store sales were satisfactory, particularly in light of the business still being in the early stages of its turnaround. The online performance was poor, and this continues to be a key area of focus," Chief Executive Helen Connolly said in a statement.
"There remains a degree of uncertainty as to trading conditions as we enter our final quarter. Nevertheless, at the end of the third quarter, the board's view of the likely outcome for the full year remains in line with previous expectations," she added.
By Karolina Kaminska; karolinakaminska@alliancenews.com; @KarolinaAllNews
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