Pre-tax profit, excluding one-off property gains, increased 70 per cent to£5.8 million in the 52 weeks to January 28, but total sales were down 11.6 per cent to£211.1 million and UK like-for-likes down 6.6 per cent.
The company said the fall in sales was expected, because of the retailer's decision to scale back its fashion offer, but was also knocked by the difficult furnishings, decorating products and home accessories markets. Laura Ashley is focussing more on its Home and opened 10 more during the year, while 14 full-range stores were closed.
Current trading is strong, with like-for-like sales in the 10 weeks to April 8 up 11.2 per cent. The company said its new-look fashion offer was driving the growth, while home remains challenging.
'Laura Ashley's improved profitability in 2005 is the result of management's focus on increasing efficiency, the store realignment programme and the ongoing cost controls in all areas of the business,' said chief executive Lilian Tan.
No comments yet