* H1 underlying pretax loss 0.6 mln stg vs loss of 4.4 mln
* H1 international lfl sales up 4.4 pct; UK LfL sales down
* Worldwide network sales up 2.1 pct at 636.8 mln stg
LONDON, Nov 22 British baby products retailer
Mothercare narrowed its losses for the first half of the
year as international sales growth and an improving UK
performance helped boost business.
The company on Thursday said it had made an underlying
pretax loss of 0.6 million pounds ($956,100) in the 28 weeks to
Oct. 13, compared with a loss of 4.4 million pounds in the same
period last year.
Mothercare is cutting prices and improving its delivery
service to help fight intense competition from British
supermarkets and the Internet and in October posted its first UK
underlying sales growth in 11 quarters.
The group, which has 1,378 worldwide stores, including 280
in the UK, said British like-for-like sales had declined by 3.4
percent in the period, improving on a 7 percent fall in the
period a year ago.
Overseas, where Mothercare has plans to open 150 stores this
year, like-for-like sales rose 4.4 percent although growth in
Europe, its biggest international market, was dampened by weak
trading conditions in the euro zone. It said it expected similar
overseas sales growth in its second half.
Total first-half worldwide network sales rose 2.1 percent to
636.8 million pounds. Losses in Britain narrowed to 17.0 million
pounds, while international profit rose 20 percent to 22.1
As part of new chief executive Simon Calver's turnaround
strategy the group closed 31 UK stores in the first half, and
said it was on target to close 50 in total for the year.
Shares in the firm, which on Wednesday named Argos
finance director Matt Smith as its new chief financial officer,
closed at 292 pence on Wednesday, more than double that of a
year ago, valuing the business at 260 million pounds.