20 January 2017 – trading update
Sales for the 13 weeks ended 24 December 2016 increased by 3.3% against the corresponding period a year earlier. A less promotional stance was taken throughout the quarter and although this had an impact on overall sales volumes it resulted in stronger gross margin performance, with product gross margin in the quarter 2.2% higher than in the corresponding period in 2015. Online sales were particularly poor in the five weeks ending 24 December and fell by 14.3%. Pre-exceptional profit before tax is likely to fall within a range between £5.0m and £7.0m. On that basis we believe that a SPECULATIVE BUY rating remains well justified.