Mountain Warehouse boss Mark Neale hails end of inflation as sales rise

Mountain Warehouse update

Mountain Warehouse has reported record sales in its interim results as its chief executive says UK inflation has peaked.

In the six months to August 27, the outdoor retailer saw sales rise 19 per cent to £91.6 million, its highest ever, while pre-tax profits jumped 18 per cent to £4.7 million.

The results were lifted by its international business, which saw a 50 per cent boost in sales accounting for around 25 per cent of its total revenues.

Online sales also jumped 19 per cent over the period.

The retailer’s inflated figures have led chief executive Mark Neale to predict the end of rising inflation in the UK, which has blighted high street sales in recent months.

READ MORE: Mountain Warehouse to create 400 new jobs amid record profits

“I think (inflation) has peaked … I certainly see no more inflation in the system from our point of view and I cannot see much more currency-related inflation in anybody else’s (businesses) really,” he told Press Association.

Inflation came below expectations this month, holding at three per cent instead of rising to 3.1 as economists had predicted.

This has encouraged many analysts to suggest inflation may begin to fall from now on.

Sister brand Zakti is also set to be further integrated into Mountain Warehouse, which currently trades from 270 stores.

A further 10 stores are expected to open in the next half of the year, adding 100 more staff to the 2250 workforce.

“We are investing in new stores, expanding our online offer and exploring new territories,” Neale said.

“We have also taken the decision to extend roll out of our popular Zakti brand to stores across the country. We believe this will help widen our appeal still further and reach new customers.”

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