Mothercare PBT improves despite sales slide
While the group’s total profits before tax rose to £2m for the period, from £800k in the prior year, net debt also increased to £15.8m from £11.6m last September
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Mothercare has revealed its profit before tax improved to £2m for the 26 week period ending 20 September, despite seeing total worldwide retail sales fall 15% to £137.2m.
The company also reported that, excluding franchise partners, it reported turnover of £29m, down from £38m the previous year, while group adjusted profits before tax from operations rose 17% to £3.4m.
The group also reported that adjusted EBITDA increased by 12% to £3.6m, reflecting tighter controls of costs within the business.
Net debt at the retailer also increased to £15.8m from £11.6m last September.
Clive Whiley, chairman of Mothercare, said: “These results are testament to our continued drive to preserve the strength of the Mothercare brand in a fast changing retail and macroeconomic trading environment.
“Against significant headwinds in the Middle East, one of our core markets, we are pleased that our business model and disciplined approach to cost has resulted in an increase in profitability for the first half.”
