Bonmarche’s annual profits slump

Bonmarche update

Womenswear retailer Bonmarche has endured a tough year, with its full year report indicating an almost 40 per cent drop in profits and a slowdown in sales.

In the year to April 1, Bonmarche’s pre-tax profits tumbled from £9.6 million to £5.8 million, while like-for-like sales was down by 4.3 per cent.

While its online sales grew by 2.2 per cent, the retailer’s total revenues only edged up slightly from £188 million to £190.1 million.

READ MORE:  Bonmarché delivers “satisfactory” quarterly update

Bonmarche chief executive Helen Connolly said a “combination of internal and external factors” over the past year – such as the drop in the value of the sterling and unseasonal weather patterns – had prevented the company from improving at the rate it wanted to.

“However, we believe that the business is now well positioned, with a compelling proposition and robust plan,” she said.

“As outlined previously, it is clear that the direction of travel is broadly right, albeit the effectiveness of execution needs to improve. Our update today provides further detail on the areas where we see the greatest opportunities and how we are already beginning to address these.”

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