// Mothercare records loss before tax of £87.3m
// The loss is a result of Mothercare’s restructuring plan
// Restructuring caused low consumer confidence
Mothercare has reported a loss before tax of £87.3 million for the 53 weeks to March 30.
The British retailer said sales have plunged thanks to last year’s restructuring resulting in reduced consumer confidence.
Mothercare said it had completed restructuring ahead of schedule, reducing its UK store portfolio from 134 stores to 79.
Last year Mothercare saw its sales fall by almost nine per cent as its losses widened to £87.3 million, which led to the company closing almost a third of its stores. It is now left with 79 and will develop its online sales.
Meanwhile, Mothercare chief executive Mark Newton-Jones said the company was on a “sounder footing” after the sale of the Early Learning Centre.
“We have achieved a huge amount this year, refinancing, restructuring and reorganising Mothercare to ensure a sustainable future for the business,” chief executive Mark Newton-Jones said.
“The majority of that work is now done, including the completion of our store closure programme, leaving us with 79 stores which are well positioned to support our UK customer base.”