Mother and baby products firm Mothercare has reported weak quarterly sales in its main British market, taking the shine off strong sales growth overseas.
The firm, which has issued two profit warnings this year and in May detailed plans to close over a quarter of its British stores, said today that sales at UK stores open over a year fell at an annual rate of 4.3% in the 15 weeks to July 9, its first financial quarter.
'In the UK the trading environment remains difficult and competitive, however our property restructure and cost reduction programme are progressing well,' the company said in a statement.
The UK outcome was partially offset by international sales growth of 15.2%, led by Eastern Europe, the Middle East and the Asia-Pacific.
Mothercare plans to shrink its UK presence as it focuses more on faster growing markets, like China, India, the Middle East, Eastern Europe and Latin America, where it can benefit from higher birth rates and a burgeoning middle class.
