Mothercare PLC
13 October 2005
13 October 2005
MOTHERCARE PLC
PRE-CLOSE TRADING UPDATE
Mothercare plc today issued the following update on trading. The statement is
being made in respect of Mothercare's half year ended 8 October 2005.
Company Performance
For the 28 weeks to 8 October 2005, representing the first half of the financial
year, total sales including International, were up 3.0%. (28 weeks to 9 October
2004 up 2.5%).
UK performance
28 Weeks to 13 Weeks to 28 Weeks to
8 October 2005 8 October 2005 9 October 2004
Total UK Sales % +1.0 +1.8 +0.8
UK Store Sales % +0.6 +1.5 +0.9
UK Store like-for-like % -1.0 -0.3 +2.4
The sales performance of our UK business continues to be driven by improved
product ranges, stores and customer service levels supported by a more robust
distribution network.
Total UK sales includes growth of 9% from our Direct business which has
increased total UK sales growth by 0.4%.
Net new space has contributed 1.6% to sales growth, we have opened six new UK
stores and closed five stores, taking the total number of UK stores at the end
of the half year to 232.
Overall UK gross margins have increased modestly in the period despite the
challenging trading environment. Our sourcing strategy continues to produce
benefits.
International
International sales have increased by 17%. The underlying growth is driven by
strong franchisee like-for-like sales, combined with our continuing
International store opening programme. We have opened 29 International stores
during this period, taking the total to 247. Additionally we have recently
signed a franchise agreement to open some 40 stores in India over the next five
years, the first of which will open in April 2006.
Ben Gordon, Chief Executive, said:
'The work we have done to strengthen the business is evident in our performance,
with our UK business showing resilience in what remains a difficult trading
environment. Further, the strength of our growing International business
balances our dependence on the UK market. We will open our first stores in India
next year, a key milestone in the delivery of our International growth
strategy.'
The full financial performance for the first half of the year (28 weeks to 8
October 2005) will be reported when Mothercare Interim results are announced on
17 November 2005.
Enquiries to:
Mothercare plc
Ben Gordon, Chief Executive 01923 206001
Steven Glew, Finance Director 01923 206187
Brunswick Group LLP
Catherine Hicks / Anna Jones 020 7404 5959
This information is provided by RNS
The company news service from the London Stock Exchange
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