Baby and maternity retailer Mothercare reported on Thursday a decline in sales following poor performance at UK stores.
The group posted a 7.4% drop in total group sales for the 13 weeks ended on January 12th.
UK stores were the biggest contributor to the fall with a 12.9% decrease, as recent improvements to its British arm failed to pull in Christmas sales and the company closed 11 shops.
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Mothercare has been scaling back stores in the UK as part of a restructuring plan to cut losses. It now has 269 stores, compared with 311 last April.
International sales, on the other hand, rose 14.8% over the same period following growth in overseas markets.
Chief Executive Simon Calver, said: "We have made solid progress during the third quarter, despite a challenging consumer backdrop for the UK and Eurozone.
"International continues to see double-digit growth and in the UK we have made further progress closing loss making stores."
He said the its retail website passed the test of peak trading at double the rate in December.
"Our work towards delivering improved value, choice and service for our customers continues to make an impact and I am very encouraged by the new ranges and innovative product ready to go into stores for spring/summer 2013."
Shares fell 2.88% to 295.50p at 11:15 Thursday.
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