Carpetright‘s profits have dive-bombed as the retailer releases its financial results for the six months to October 29.
Pre-tax profits dropped by 42 per cent to £4.1 million and total revenue fell by 3.8 per cent to £222.3 million. Like-for-like sales also declined by 2.9 per cent in the UK over the same period.
The carpet retailer attributed its heavy losses to stiff competition, a fall in the value of the sterling and uneven customer demand.
“We have had a challenging first half – the full impact of the UK decision to leave the EU remains unclear; consumer demand remains uneven; the market is extremely competitive and the impact of currency movements have combined to give us substantial trading headwinds,” boss Wilf Walsh said.
“To address these challenges and revitalise the business, we have a programme of activities under way, but these will take time to deliver their full effect.”
Despite the poor performance Walsh remains positive and has stated like-for-like sales in the second half have returned to a positive number.