LONDON (Alliance News) - Walker Greenbank PLC on Wednesday said total brand sales in the first four-and-a-half months of its financial year fell following on from the flood which hit its fabric printing business in December.
Ahead of its annual general meeting on Wednesday, the luxury interior furnishings group said total brand sales in the first four-and-a-half months of its financial year to January, fell by 3.0% year-on-year, as a 6.7% decline in the UK offset 2.6% growth overseas.
Walker Greenbank's brands include Sanderson, Harlequin and Anthology. Its fabric printing business Standfast & Barracks suffered disruption after it was hit by a flood in December.
Walker Greenbank was able to satisfy orders from stocks of fabric held in its Milton Keynes warehouse, but those stocks fell while the factory was being returned to production, hitting brand sales in the new financial year which began at the start of February.
Walker Greenbank said the factory is almost back to full production but that it will take some months to return to a full stock holding position in Milton Keynes.
The company added that its insurance policy covers loss of profit and that it expects further insurance payments in due course.
"Our key new product launches, including Sanderson's Woodland Walk, Morris's Pure and Anthology's fourth collection, have all been well received. We are also making exciting progress in licensing; of particular note is the launch this autumn of the first footwear range from a licensing agreement between Sanderson and the well-known US brand Sperry," Chairman Terry Stannard said in a statement.
"We remain confident of the outlook for the rest of the financial year and current guidance remains unchanged," he added.
Shares in Walker Greenbank were trading down 1.4% at 187.30 pence early on Wednesday.
By Karolina Kaminska; karolinakaminska@alliancenews.com @KarolinaAllNews
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