Mothercare sales dip
In-store sales dip and web revenue rises as new CEO Dave Wood takes the wheel
Sales at Mothercare stores have fallen over the past quarter, but online sales are on the rise.
Like-for-like sales made by customers at the baby and infant retailer's stores fell 2.8 per cent in the 12 weeks ending 24 March, but the company's online sales saw an uptick of 2.1 per cent, with the amount of purchases made through its website rising by a solid 7.2 per cent.
David Wood, a former Kmart and Tesco executive, was parachuted in to replace ex-boss Mark Newton-Jones earlier this month. The new chief executive said in a statement: "The UK retail trading environment remained relatively muted in the quarter, with a continuing trend of lower footfall in stores."
He stressed the urgency to "ensure Mothercare is put back on a sound financial footing and to improve its financial performance".
Mothercare is currently optioning a CVA with lenders to restructure its finances, cut the amount of retail stores and work with landlords to slash rent commitments on remaining locations.