Trading slowdown to hit Whittard profits
‘Cautious’ view prompts drop in forecasts
Whittard of Chelsea expects its full-year profits to fall below last year’s level as trading conditions worsen.
The upmarket tea and coffee retailer said it is taking “a very cautious view” of the rest of the financial year to May 2005, “and on that basis expect the profit before tax to be below last year’s level.”
In January, Whittard reported that like-for-like sales in the eight weeks to January 23 has increased by 1 per cent following flat sales in December.
The company said that since then, sales have been hit by weak consumer spending during February and March, and in particular a fall in like-for-like sales of 4 per cent during Easter including the post Easter sale.
The company said; “Sales during the comparable period last year were exceptionally strong and therefore the adverse retail environment has proved difficult to counter.”
Whittard added: “Notwithstanding the current weaknesses being experienced in the UK retail environment, our overseas markets are progressing well and to plan.”
