Mothercare Plc, the leading international mother and baby retailer, announces interim results for the 28 weeks to 13 October 2012.
Key highlights for first half
Work on the Transformation and Growth plan is progressing well, with store portfolio restructuring on track, new store format launched, management team restructured and strengthened, website re-launched, improved value proposition, new ranges across all three business segments and improved focus on customer service Worldwide network sales up 2.1% at ÂGBP636.8 million, with International retail sales up 10.8% and UK retail sales down 8.6% International like-for-like sales up 4.4% and UK like-for-like sales performance improved, with decline reduced to -3.4% Group underlying loss before tax reduced to ÂGBP0.6 million (H1 2011/12: loss of ÂGBP4.4m) Net debt of ÂGBP29.8 million, following tight control of working capital and cash
Alan Parker, Chairman of Mothercare, said:
"We have made good progress over the last six months in implementing the cost and efficiency measures of our three-year Transformation & Growth plan for Mothercare. These are early days and while there is much still to do, I remain confident that we are on track."
Simon Calver, Chief Executive of Mothercare, said:
"My first six months as CEO have been both challenging and exciting. We are starting to see the impact of our actions to ensure that Mothercare can deliver what our customers want - better value, choice and service. Our results show early signs of progress despite the challenging trading conditions in the UK and the Eurozone. International profits have grown by 20%, while the like-for-like sales trend in the UK has improved and losses have reduced. Ahead of our peak trading period over Christmas, we are working hard to serve our customers better and focusing on the delivery of our plan."
The Mothercare group is comprised principally of two iconic retail brands with international appeal; Mothercare and Early Learning Centre.
