Tough trading dampens orders at sofa chain ScS

 
Helen Cahill
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ScS said it was working against "challenging comparatives" (Source: ScS website)

Sofa chain ScS posted a slump in orders this morning, blaming the tough retail environment for a drop in sales.

For the six months to 29 July, like-for-like orders fell five per cent. On a like-for-like basis for the full year, orders were down by 0.7 per cent, which the Sunderland sofa retailer said was in line with expectations.

Read more: Furniture giant DFS is set to unveil a deal to buy smaller rival Sofology

David Knight, chief executive of ScS, said: "We are pleased that despite the challenging comparatives and wider market backdrop we have traded in-line with the board's expectations for the year.

"Looking ahead, notwithstanding the current trading environment, the board believes the business remains in a strong position to maximise opportunities as they arise and to grow market share."

ScS is on the hunt for a new managing director after Kevin Royal said in June that he was departing the business after 36 years.

Traders will learn more about the state of the sofa market tomorrow, when DFS posts its trading update. Two months ago, DFS issued a profit warning, sending its shares down by 24 per cent.

However, DFS is still pressing ahead with an expansion of the group, and is expected to announce a buy-out of rival firm Sofology tomorrow.

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