The menswear retailer Moss Bros has issued a profit warning.
Moss Bros revealed that like-for-like sales slumped 3.6 per cent in the 44 weeks to November 29.
Like-for-like sales for the first 18 weeks of the second half are behind 5.2 per cent. The financial year ends in January next year.
The retailer said that gross margin is ahead of last year and that the “challenging current trading environment is likely to have a materially adverse impact on market expectations for the full year”.
It added that is has a strong average cash balance and has taken actions to reduce costs.
Moss Bros chief executive Philip Mountford said: “Our sales performance in the last two months reflects the very tough trading conditions in our markets.
“The business is ever vigilant to opportunities to reduce costs and maximise cash flow and proactively take steps to drive sales in what we expect to continue to be a challenging retail market.”
On Friday, a trust represented by menswear supplier Simon Berwin snapped up a 28 per cent stake in the retailer from Sir Philip Green for£7.7 million. The trust now holds 29.9 per cent of the retailer.