Greetings cards retailer Clinton Cards generated a 3% increase in profits last year but has found trading tough in recent weeks, particularly in Ireland.
In the 10 weeks to October 10 group like for likes fell 2.9% and 3.9% at its eponymous business. Like-for-likes rose 5.4% at its Birthdays UK arm, but slumped 15.5% at its Birthdays Eire business, the future of which is under review.
Managing director Clinton Lewin said the economic situation is âprobably even worseâ in Ireland than the UK, and that the retailer is still âlooking at all the options we haveâ, which include exiting the country.
Group adjusted operating profits came in at ÂŁ16.2m in the 52 weeks to August 1.
In the year like-for-likes at the Clinton brand rose 0.7%, despite âweakening footfall in the last quarterâ, across its 622 shops.
Total revenue rose from ÂŁ345.2m to ÂŁ400m. Lewin said margins were maintained after a lot of âarm-wrestling with the supply chainâ.
He maintained: âItâs tough out there on the high street. But as we come into the Christmas period we are set up nicely with our ranges.â
The retailer outlined plans for an overhaul of the Clinton brand (Retail Week, April 1) and said it would be âcompletely updating the look and feel of the Clinton storesâ.
Numis analyst Andy Wade said the results were âmarginally ahead of expectationsâ. He noted the âencouraging net debt reduction and the opportunity from rebranding and ecommerce initiativesâ.
No comments yet