1 Mar 2018 07:00
Carpetright plc
Update on Trading & Financial Position
Trading conditions in the weeks since the Group last updated the market on 19 January 2018 have remained difficult, characterised by continued weak consumer confidence. While the trend in the Group's UK like-for-like sales has improved through the intervening period, it remains negative. Trading in the Rest of Europe has also improved, led by a recovery in like-for-like sales in the Netherlands. Although the important Easter trading period is still to come, UK like-for-like sales remain below management expectations and the Group now expects to report a small underlying pre-tax loss for the year ending 28 April 2018.
The Group is therefore proactively engaged in constructive discussions with its bank lenders in order to ensure it continues to comply with the terms of its prevailing bank facilities. The bank lenders have indicated that they currently remain fully supportive.
In addition to the discussion with its lenders, the Group is examining a range of options to accelerate the turnaround of the business and strengthen its balance sheet. This process remains at an early stage and the Group will update the market on these initiatives as required.
The information communicated in this announcement contains inside information for the purposes of Article. 7 of the Market Abuse Regulation (EU) No. 596/2014.
For further enquiries please contact:
Carpetright plc
Wilf Walsh, Chief Executive
Neil Page, Chief Financial Officer
Tel: 01708 802000
Citigate Dewe Rogerson
Kevin Smith / Nick Hayns
Tel: 020 7638 9571
Further information on Carpetright plc, including an alert service for latest company news, can be found at http://www.carpetright.plc.uk/
A copy of this trading statement will be available on our website from 7.00am today.
Notes to Editors
Carpetright plc is Europe's leading specialist floor coverings and beds retailer. Since the first store was opened in 1988 the business has developed both organically and through acquisition within the UK and other European countries. The Group is organised into two geographical regions, the UK and the Rest of Europe (comprising The Netherlands, Belgium and the Republic of Ireland).