collected by :Victor Alphen
Mothercare issues profit caution as Christmas discounts sink. Like-for-like discounds fell 7.2% year-on-year, When on-line discounds fell 6.9%.
Mothercare told it had reduced its total Britain retail space to 1.4m sq ft in its store closure program & which total discounds were reduce as a result.
The retailer told on-line discounds this day represented about 42% of its total Britain sales.
Last week, section store chain Debenhams issued a profit caution after reporting disappointing Christmas trading.
However, discounds at following unexpectedly rose over the Christmas period, prompting the fashion retailer to increase its profit forecast.
Weak results weight on FTSE 100, profit caution pummels Mothercare
The London Stock interchange Group offices are seen in the town of London, Britain, December 29, 2017.
REUTERS/Toby MelvilleThe FTSE hundred .FTSE underperformed Eu benchmarks, holding flat, by technology the biggest weight.
Also in small-caps, McBride (MCB.L), a suppliers of household goods, sank 18 % after its trading upgrade showed declining revenues & Investec cut its value aim on the stock.
Concerns around consumers, the engine of the Britain economy, have been weighing on forecasts for Britain’s economic development & saving Britain stocks from fully participating in the powerful rally across Eu markets.
Strong metals prices too helped limit the damage from weak results, by miners involving Glencore (GLEN.L), BHP Billiton (BLT.L) & Rio Tinto (RIO.L) backing the FTSE.
LIVE MARKETS-Mothercare: another Britain retailer profit caution bodes badly
as mentioned in The 2nd profit caution in a 7 days between Britain retailers – after Debenhams final 7 days – bodes badly for the sector.
Investors going to be treading cautiously though, by all eyes on updates from Sainsbury’s, Morrisons, Tesco & M&S later this week.
Mothercare Information Systems sinking 24 % after the baby goods retailer warned full-year profit would be much reduce than formerly expected.
A Beautiful weak begain for Britain stocks, then, by all eyes on retailers as Symptoms of user strain multiply.