25 Jan 2019 07:00
25 January 2019
Bonmarché Holdings plc
("Bonmarché" or the "Group")
Trading update for the 13 and 39 week periods ended 29 December 2018
Following the update issued on 13 December 2018, trading during the final three weeks of the third quarter remained in line with revised expectations. The LFL sales performance for the third quarter and the year to 29 December 2018 is shown in the table below.
December's announcement included an update on trading during October, November and early December 2018. A slight improvement in footfall towards the end of the month resulted in the store LFL sales figure being marginally better than the negative 12%, which together with an approximate negative 1% LFL for Q4, represented the mid-point of the underlying PBT range given. Online sales continued to grow strongly during the period, albeit at a lower rate than in the first half of the year. Gross margin during the period remained in line with revised forecasts and were below last year due to additional discounting and expected exchange rate headwinds.
| Store only LFL% change | Online only sales % change | LFL stores + online % change | Total sales % change |
Q3 - 13 weeks ended 29 December 2018 | (11.1%) | 22.2% | (7.8%) | (8.1%) |
39 weeks ended 29 December 2018 | (6.4%) | 26.5% | (3.3%) | (2.7%) |
Outlook for FY19
The winter sale has begun well, and we continue to trade in line with the revised guidance given in December.
Financial position
The Group's cash reserves are expected to be adequate to meet its liquidity requirements, even at the lowest end of the PBT range, and during the period when the cash balance is lowest, around the end of March.
Helen Connolly, Chief Executive said:
"Clearly, in the short time since our last update, macro market conditions have not changed, but I am pleased that the sale stock is clearing well and that trading is in line with our revised expectations. In the short term, we continue to focus on ending the year with a clean stock position and ensuring that our balance sheet remains healthy.
"Looking forward, the Board remains confident in Bonmarché's prospects and strategy and we will continue to drive the implementation of our previously outlined plans, maintaining a particularly strong emphasis on increasing multi-channel sales."
- Ends -
For further information regarding Bonmarché, please call:
Bonmarché Holdings plc Helen Connolly, Chief Executive Stephen Alldridge, Finance Director
| c/o FTI +44 (0)20 3727 1000 |
FTI Consulting - Communications advisor Jonathon Brill Eleanor Purdon Fiona Walker
| +44 (0)20 3727 1000 |
Notes to Editors:
Bonmarché is one of the UK's largest women's value retailers, focused on selling stylish clothing and accessories in a wide range of sizes, via its own store portfolio and online. Established in 1982, Bonmarché has over 35 years of experience in this market segment, operating across the UK.