Carpetright, Britain's biggest floor covering retailer, warned on its profits for the second time in as many months today, as shoppers hold back on expensive purchases amid rising bills and government cuts.
The group, which trades from around 700 stores in Britain, Ireland, the Netherlands and Belgium, said profit before tax and one-off items for the year ended April 30 would be broadly in line with 2008-9's figure of £17.2m sterling.
It had said in February it expected profits to be above that level, but below 2009-10's £28.2m.
Last month, the Carpetright chain said it would close seven of its 25 outlets in the Republic with what it described as the 'potential' loss of 19 jobs. But the company was not able to specify which branches are set to close until it completes a period of consultation with staff.
A London-based spokesperson for Carpetright said that sales in Ireland had fallen by more than 50% over the last three years, and that trading conditions remained very difficult.
A string of UK retailers inluding household goods group Home Retail, electricals retailer Dixons, mother and baby products chain Mothercare and music to books group HMV have warned on profits in recent weeks.
Marks & Spencer said yesterday that it was benefiting as shoppers cut back on major purchases, but still allow themselves 'affordable treats'. Carpetright said it would issue its normal year-end trading update on April 27.
