Carpetright trading continues in line with expectations

Carpetright, the flooring covers retailer, has said like-for-like (LFL) sales in the UK in the 12 weeks to April 20th grew 5.6 per cent, while total sales increased 4.4 per cent.

Carpetright, the flooring covers retailer, has said like-for-like (LFL) sales in the UK in the 12 weeks to April 20th grew 5.6 per cent, while total sales increased 4.4 per cent.

However, as anticipated LFL sales in the Rest of Europe decreased 10.2%, with a solid performance in Belgium and the Republic of Ireland offset by continued weakness in the Netherlands.

The group also said trading in the financial year-to-date has been in line with its expectations.

Darren Shapland, Chief Executive, said: "Whilst the recent cold spring weather has been positive to our sales, we believe this performance reflects the continued success of our programme of self-help initiatives [...]

"This has been achieved in a market which remains challenging with consumers very focused on getting a good deal, necessitating a highly visible and compelling promotional programme."

The company also revealed that its gross margin for the period has been in line with previously announced expectations and its view of the full year gross profit percentage improvement is now in the range of 225-250 basis points above the prior year.

In repsonse to the company's performance in the Rest of Europe, Shapland added: "The actions we took earlier in the year when deteriorating economic conditions in the Netherlands prompted a significant decline in the furnishings and home improvement sector are now helping support our overall profitability in this country.

"The group result for the year to date is in line with management's expectations and whilst trading conditions remain challenging, we have good momentum with our self-help initiatives which we believe will carry onto the new financial year."

NR

Recommended

Which assets will benefit as the “jam tomorrow” bubble pops?
Investment strategy

Which assets will benefit as the “jam tomorrow” bubble pops?

With tech stocks, cryptocurrencies and many other “long duration” investments crashing hard, the “jam tomorrow” bubble looks to be bursting. John Step…
24 Jan 2022
Three innovative Asian stocks to buy now
Share tips

Three innovative Asian stocks to buy now

Professional investor Fay Ren of the Cerno Pacific Fund highlights three of her favourite Asian stocks to buy now
24 Jan 2022
Share tips of the week – 21 January
Share tips

Share tips of the week – 21 January

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
21 Jan 2022
Seven cheap defence stocks to buy now
Share tips

Seven cheap defence stocks to buy now

We’ve got used to a world without war between major powers, but that era is coming to an end as Russia threatens Ukraine and China eyes Taiwan. Buy de…
21 Jan 2022

Most Popular

Ask for a pay rise – everyone else is
Inflation

Ask for a pay rise – everyone else is

As inflation bites and the labour market remains tight, many of the nation's employees are asking for a pay rise. Merryn Somerset Webb explains why yo…
17 Jan 2022
Temple Bar’s Ian Lance and Nick Purves: the essence of value investing
Investment strategy

Temple Bar’s Ian Lance and Nick Purves: the essence of value investing

Ian Lance and Nick Purves of the Temple Bar investment trust explain the essence of “value investing” – buying something for less than its intrinsic v…
14 Jan 2022
Interest rates might rise faster than expected – what does that mean for your money?
Global Economy

Interest rates might rise faster than expected – what does that mean for your money?

The idea that the US Federal Reserve could raise interest rates much earlier than anticipated has upset the markets. John Stepek explains why, and wha…
6 Jan 2022