Matalan has recorded a slide in sales over Christmas after online growth failed to mitigate the impact of enforced store closures.

The fashion retailer reported that sales were down 11.2% year on year to £119.2m in the five weeks to January 2 as government restrictions hit peak trading.

In the 13 weeks to November 28, Matalan’s sales fell 21.4% to £244.8m, with stores closed during the November lockdown.

Matalan said its online offering grew 84% in the five-week Christmas period, representing the retailer’s push to become omnichannel through investment in supply chain capacity and order fulfilment from stores.

Despite the store closures, Matalan launched its Boxing Day Sale both online and in tiers where stores were allowed to open, with entry volumes 14% below last year.

Executive chair Steve Johnson said: “Today’s results reflect the severe Covid-19-related disruption to store trading throughout November as government restrictions required us to close completely or trade only ’essential’ ranges within stores.

“This followed a period of robust autumn trading in September and October, within which full-price sales grew against last year and customers continued to feel comfortable and reassured in our large, convenient and safe store environments.

“All of our stores across the UK reopened during December and performance prior to further restrictions being announced was strong, as customers sought out true value, against an uncertain consumer, economic and political backdrop.

“Since Christmas, the Covid-19 landscape has deteriorated significantly with all of our UK stores once again mandated to close on January 4 for an uncertain duration.

“As such, we remain very cautious about the months ahead and are working with our key stakeholders to manage the business accordingly, focusing on optimising online performance, cash preservation, working capital management and minimising costs.

“We have swiftly taken the necessary action to protect the business. Whilst we have furloughed the majority of our store teams, we continue to fulfil online demand from many of our stores and also provide our popular click-and-collect service, enabling safe and convenient access for our customers to essential clothing and homeware items for themselves and their families.

“Our experience of reopening our stores following a lockdown gives us confidence that we can once again trade well in what will undoubtedly continue to be a tough retail environment.

“I would like to thank our colleagues and suppliers for their continued commitment and support through another challenging period.”