Carpetright issues second profit warning in four months

Tuesday 28 January 2014 08.23
Deteriorating trade in the Netherlands dampened an improving UK performance
Deteriorating trade in the Netherlands dampened an improving UK performance

Floor coverings retailer Carpetright warned on year profit for the second time in almost four months.

It said that deteriorating trade in the Netherlands dampened an improving performance in the UK. 

The firm, whose boss Darren Shapland quit after a profit warning in October, said today it now expected its full-year underlying pre-tax profit to be below the lower end of current market expectations.
              
Analysts had been expecting a pre-tax profit of between £9-10m sterling, according to Reuters data.

Carpetright said sales at UK stores open at least a year rose 1.9% in the 13 weeks to January 25, its fiscal third quarter, compared with a first half decline of 0.8%.
              
However, like for like sales in its smaller European unit - comprising Ireland, Belgium and the Netherlands - fell 7.7%, having fallen 8.6% in the first half. The company said that its stores in the Netherlands suffered from "extremely difficult economic conditions".