TIDMTHT

RNS Number : 8315F

Thorntons PLC

30 April 2014

30(th) April 2014

THORNTONS PLC

("Thorntons" or "the Company")

THIRD QUARTER TRADING UPDATE & INTERIM MANAGEMENT STATEMENT

Thorntons today reports on trading during its third quarter for the 15 weeks up to and including 26 April 2014. Both operating divisions reported good sales of Easter specialities.

Sales in the third quarter saw a reduction of 7.6% against the same period last year due to the combined effect of early spring deliveries in our second quarter, slower sales through February and March in our UK Commercial channel and the cumulative effect of planned store closures.

For the year to date, UK Commercial sales have increased by 8.6% and the Retail division has delivered positive like-for-like growth of 1.8%.

FMCG Division

-- UK Commercial sales declined by 8.0%. A strong Easter performance, where sales of our seasonal specialities grew in excess of 20%, was offset by the impact of the early spring sales reported in the second quarter combined with slower sales in February and March and a performance at Valentine's Day and Mother's Day that fell below expectations.

   --    International sales increased by 3.4%, accounting for just under 3% of total revenue.

Retail Division

-- Like-for-like sales increased by 1.2% driven by a consistent performance over the key spring seasons including Easter.

-- Own store sales declined by 8.8% reflecting 38 store closures compared to the same period last year in line with its strategy. Ten stores closed in the period resulting in 271 Own Stores at the end of the quarter.

   --    Consumer Direct sales increased by 5.6%. 
   --    Franchise sales increased by 5.7%.

Jonathan Hart, Thorntons' Chief Executive, commented:

"Set against the continuing backdrop of a competitive and challenging trading environment the key Easter season saw all our channels delivering sales growth. Customers responded positively to our Easter innovations and we anticipate further good growth in our Easter market share.

"Despite this third quarter result we are satisfied with the overall performance of the business for the year to date and we look forward to our UK Commercial channel returning to growth in our short final quarter. The Board remains confident that Thorntons will perform in line with market expectations for the full year* and we continue to be confident that our transformation is on track and our strategy is appropriate and working."

   *               Consensus is GBP7.3m pre-exceptional PBT at 29th April 2014. 
 
 Sales GBPm**        Q1    Change    Q2    Change    Q3    Change     Year     Change% 
                             %*              %*               %      to date 
-----------------  -----  -------  -----  -------  -----  -------  ---------  -------- 
 FMCG Division      23.8   +11.0%   46.8   +16.5%   28.5   (8.6)%     99.1      +6.8% 
-----------------  -----  -------  -----  -------  -----  -------  ---------  -------- 
 Retail Division    23.2   (5.7)%   46.0   (3.2)%   29.2   (6.7)%     98.4     (4.9)% 
-----------------  -----  -------  -----  -------  -----  -------  ---------  -------- 
 Total Company      47.0   +2.1%    92.8   +5.8%    57.7   (7.6)%    197.5      +0.7% 
-----------------  -----  -------  -----  -------  -----  -------  ---------  -------- 
 
 Like-for-like 
  (Retail)                 (0.4)%          +3.5%           +1.2%                +1.8% 
-----------------  -----  -------  -----  -------  -----  -------  ---------  --------

** Due to divisional restructuring of Thorntons Direct, elements of which are now integrated into the FMCG Division, the Q1prior year comparative figures for the Retail Division have been reduced by GBP0.3m, Q2 by GBP1.1m and Q3 by GBP0.3m, with compensating adjustments made to the prior year FMCG figures.

For further enquiries please contact:

Nadja Vetter / Emma Crawshaw / Georgina Hall, Cardew Group T: 020 7930 0777

This document contains certain statements that are forward-looking statements. They appear in a number of places throughout this document and include statements regarding our intentions, beliefs or current expectations and those of our officers, Directors and employees concerning, amongst other things, our results of operations, financial condition, liquidity, prospects, growth, strategies and the business we operate. By their nature, these statements involve uncertainty since future events and circumstances can cause results and developments to differ materially from those anticipated. The forward-looking statements reflect knowledge and information available at the date of preparation of this document and, unless otherwise required by applicable law, the Company undertakes no obligation to update or revise these forward-looking statements. Nothing in this document should be construed as a profit forecast. The Company and its Directors accept no liability to third parties in respect of this document save as would arise under English law.

This information is provided by RNS

The company news service from the London Stock Exchange

END

TSTILMFTMBTTBFI

Thorntons Plc (LSE:THT)
Historical Stock Chart
From Jul 2024 to Aug 2024 Click Here for more Thorntons Plc Charts.
Thorntons Plc (LSE:THT)
Historical Stock Chart
From Aug 2023 to Aug 2024 Click Here for more Thorntons Plc Charts.