Moss Bros in good shape

Suit hire specialist Moss Bros said like for like sales for the first 19 weeks of the second half rose 10.5% on last year and while it is mindful of the uncertain macro-economic environment it remains confident in the outlook for the full year.

Like for like sales for the 45 weeks to 10 December increased 13.4% from the same period in 2010. Total sales for the 45 weeks to 10 December increased 18.5% from last year.

Like for like cash gross profit was 7.9% ahead of last year in the 19 weeks to 10 December, despite the tough trading environment and increases in raw material cost prices, Moss Bros said.

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Commenting on trading chief executive officer Brian Brick said, "We are encouraged by the sales momentum throughout the business which has continued into this year, despite tougher comparatives."

"The simplification of the business model, following the disposal of the Boss franchise stores and Cecil Gee stores, has enabled us to focus on the strengths of the core Moss brand," he added.

Moss Bros is among a handful of retailers posting results this week ahead of the key Christmas period. Recent figures from the British Retail Consortium warned the outlook for retailers remains tough. Retail sales data for November is due out later today.

Moss Bros said costs continue to be tightly managed and the group has maintained a healthy cash balance. Proceeds of £12.3m from the Hugo Boss disposal, dependant on assignment of leases, are all now received.

"We enter this important trading period in good shape but ever mindful of the fragile nature of consumer confidence and we continue to develop the business, whilst managing it to reflect these conditions. The board remains confident in the outlook for the full year," the group said.

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