GENERAL MERCHANDISE NEWS
Ottakar’s issues profit warning
14 December, 2005 | by Retail Bulletin
Book retailing sector sees unprecedented levels of price discounting.
Ottakar’s has issued a profit warning, with like for like sales plunging 6.7 per cent in the first 19 weeks of the second half. The company said “Ottakar’s has chosen largely not to engage in this price war but nevertheless has felt some pressure on sales and margins.
In the light of this, management has taken appropriate steps to reduce costs, details of which will be announced to the market when we issue our pre-close trading statement expected on 12 January 2006. There are two important trading weeks ahead of Christmas and therefore it is too early to predict the final full year outcome with any degree of certainty.”
