// Mothercare expects big financial hit after suspending trading in Russia
// Russia represents around 20 to 25% of Mothercare’s worldwide retail sales
Mothercare has warned that it will take a big financial hit as a result of halting business in Russia amid the invasion.
The mother and baby retailer said its decision to suspend operations would mean a hit of up to a quarter of its usual global revenue. Shares have fallen by 25% in response.
READ MORE: Mothercare returns to profit
Mothercare operates as a brand franchise operation after its UK store division was placed in administration in 2019.
“Mothercare announces that all business in Russia, including shipment of all products has been suspended,” the retailer said.
“Our local partner has confirmed that it will be immediately pausing operations in some 120 stores and online.
“Russia represents around 20-25% of Mothercare’s worldwide retail sales and was previously expected to contribute around £0.5 million per month to group profit.”
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