UK home shopping retailer Findel has announced a decrease in losses despite revenues dropping £9.6 million, in half-year results published today.
Loss before tax totalled £15.5 million for the 26 weeks to October 1st, compared to £22.7 million during the same period last year.
Findel sold parts of its operations during the period, including Iwantoneofthose.com, and excluding these businesses and exceptional items its sales dropped to £255.8 million, down from £260 million 12 months ago.
Operating profit from its continuing operations rose from £3.3 million in the first half of 2009 to £6.2 million during the last six months.
David Sugden, Chairman of Findel, said: “I am pleased to report that in the 26 weeks ended October 1st 2010 we have begun to make real progress towards improving the group’s performance and profitability and securing its longer term success.
“Our Full Potential Review has identified that our existing businesses are capable of significant improvement in profit performance.”
A refinancing of its balance sheet is planned by the retailer, which will include £80 million of equity funding and new five-year committed debt facilities on improved commercial terms.
Sugden continued: “We are at an advanced stage in our negotiations with our major shareholders and lenders to agree a comprehensive refinancing of the group’s balance sheet.
“This would provide a solid platform to enable the operational improvements identified in our review to be implemented swiftly, whilst also reducing the group’s net indebtedness.”