Moss Bros is benefiting from the end of takeover speculation and has reported a robust start to its second half.

The retailer, the subject of a failed£40 million takeover bid by its largest shareholder Baugur, recorded flat like-for-like sales in the first eight weeks of the company’s second half.

Chief executive Philip Mountford said: “Trade has been significantly better. It shows that when management is able to focus, then we can do it.”

The retailer reported a pre-tax loss of£1.6 million over the six months to July 26. Like-for-like sales fell 2.6 per cent during the period. Total sales fell 2.9 per cent.

Mountford said the retailer faced “challenging times” but that it would not change City expectations for the full year. Since the arrival of chairman David Adams, the retailer has implemented new strategic initiatives including an increase in sourcing from the Far East – contributing to a gross margin increase of 40 basis points – and the refurbishment of its Moss stores.

Mountford did not update on the planned sale of Moss Bros’s Cecil Gee fascia.

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