Restructured United Carpets to resume Aim trading

United Carpets issued a pained final results statement for the year to October 5th, stating that the period had been "extremely challenging".

United Carpets issued a pained final results statement for the year to October 5th, stating that the period had been "extremely challenging".

The group suffered a £2.6m loss for the period, as exceptional costs of £3m followed on from impairment costs and expenses associated with store closures. Like-for-like sales across the group were down by 1 per cent.

Revenues came in at £41.5m for the period, with pre-tax profits ahead of exceptionals at £0.4m.

Shares in the carpeting specialist were suspended from trading on Aim last August, as the company was unable to issue financial results within the timeframe specified by Aim rules. Following this statement, the board now expects trading to be resumed.

A number of United Carpets franchises were terminated over the past year due to harsh trading conditions, which the group attempted to mitigate by investing in new technology to measure footfall and marketing effectiveness.

Chief executive officer Paul Eyre said the year of re-evaluation of the group's business model had been a necessary step. The company is now re-aligning central costs with a reduced operating base.

"While we are not anticipating an uplift in the market conditions in the near term, the group is now better placed to benefit from an improvement in future market conditions," said Eyre.

JF

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

The electric-car bubble could get an awful lot bigger from here
Renewables

The electric-car bubble could get an awful lot bigger from here

The switch to electric cars is driving a huge investment bubble. But that’s not necessarily a bad thing, says John Stepek. Fortunes will be made and l…
24 Sep 2020
Can Rishi Sunak’s winter plan save the UK economy?
UK Economy

Can Rishi Sunak’s winter plan save the UK economy?

With his Winter Economic Plan, chancellor Rishi Sunak is hoping to support the economy through the dark months ahead as restrictions tighten again. Jo…
25 Sep 2020
The rising dollar is proving bad news for most other assets – will it last?
Investment strategy

The rising dollar is proving bad news for most other assets – will it last?

Precious metals, stocks and pretty much every other asset has taken a tumble as the US dollar strengthens. Dominic Frisby looks at how long this trend…
23 Sep 2020