Flying Brands Share News (FBDU)

Flowers and gifts retailer Flying Brands delivered a 12% hike in third quarter sales, helped by strong web sales, but warned that it continued to experience difficult trading conditions in its core bedding plants business. The group said it expected its unit Flowers Direct to post a small loss in the current financial year while profits at its Gardening Direct division are expected to fall short of forecasts. "Trading conditions in the gardening sector have been tough throughout this year and this has impacted the performance of Gardening Direct," Flying Brands said in a company statement. Group sales rose to £5.6m for the three months to 1 October versus £5m the year earlier. Web sales accounted for 41.2% of total sales, almost double last year's. Sales at its Garden Division were unchanged at £3.1m. Overall like for like sales in this division were down 4%. Sales at its Gifts Division were £2m compared with £1.4m in the year before. Its recently acquired Garden Centre Online performed in line with expectations. "Going forward, our recent acquisitions and in particular the strengthening of our Gifts Division should mean that overall group performance is less dependent on the performance of Gardening Direct," the group added. The company also announced that it has acquired 50% of Dealtastic, a company providing Web retailing and promotional services.