Home Retail Group DIY sales suffer during bad weather
Tuesday June 19 2012
Home Retail Group suffered an eight per cent fall in sales at Homebase after the wettest April in years.Like-for-like sales at the DIY chain declined by 8.3% in the three months to June, driven down by seasonal products, which make up almost half of total sales and dropped by 15%.
The company said big ticket sales were also down in a market that continued to be challenging, while sales for the remaining categories were level.
Homebase pulled in total revenues of £421m, which benefitted from fewer promotions and helpful currency movements driving up margins.
Like-for-like sales were also down slightly at Argos, although new space and the sale of two shops helped push total sales into the black.
Revenues at Argos in the three months to June were £819m, down 0.2% on a like-for-like basis.
The firm said consumer electronics saw an improved performance with sales level on the previous year, driven by continued strong growth in laptops and tablets.
This offset sales declines in the TV, audio and video gaming categories for which it said the markets remained challenging.
Margins were also hit at Argos, dropping 0.25% due to adverse sales mix and ongoing price investment, Home Retail said.
"At this early stage of the financial year we are comfortable with current market expectations for full year benchmark profit," said Chief Executive Terry Duddy.
"We will continue to plan cautiously, managing robustly both the cost base and the cash position of the group while prioritising our investment in the ongoing development of our multi-channel capabilities," he said.
Blog7 Deadly Posting Sins On LinkedIn
Bubble Wrap Up: Top 5 Developer Jobs - March 2016
10 Lessons We Can Learn From Real Cover Letters
Bubble Wrap Up: Top 5 Web Content Jobs - March 2016
5 Things You Should/Shouldnât Include On Your CV
Bubble Wrap Up: Top 5 Jobs - March 2016
Should Digital Employees Stay In The UK or Move Abroad?
Bubble Wrap-Up: Top 5 Digital Marketing Jobs - March 2016
10 Digital Jobs That Didnât Exist 10 Years Ago
Bubble Wrap-Up: Top 5 SEO and Search Marketing Jobs - February 2016