Mothercare’s share price tanked on Thursday, tumbling over 15 percent after posting a loss of £16.8 million.
Whilst some of the figures for the six months to September looking promising, investors were spooked by a recent “softening in the market” and “a challenging consumer backdrop”.
Online sales growth grew 57 percent in constant currency, with half-year like-for-like UK sales up 2.5 per cent to £229 million.
However, Mothercare’s adjusted loss before tax came to £0.7 million, a significant drop from the £5.9 million profit made in the same period last year.
International like-for-like sales fell eight per cent, despite the group vowing to move its focus to more international sales, and overall six-month losses stood at £16.8 million.
Mothercare’s problems with its defined benefit pension scheme continued to weigh, and the group were forced to pay out £7.1 million to the scheme to keep it in the black. By September, the shortfall was still stood at £68.9 million shortfall. The firm went to the bank to draw down £24.5 million on its lending facility over the period.
Mothercare shares are currently trading down 15.87 percent at 70.25 (1025GMT).
