Carpetright blames Netherlands after warning on earnings again

 
Kasmira Jefford
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CARPETRIGHT issued its second profit warning in almost four months yesterday, blaming worsening conditions in the Netherlands for lower earnings.

The flooring specialist, whose boss Darren Shapland quit after October’s profit warning, said it now expected underlying pre-tax profits to be between £7m to £8m – around 15 per cent lower than the previous year.

That was below analysts’ already lowered forecasts of £9m to £10m.

Executive chairman Philip Harris said: “Predicting the final outcome for the year with any accuracy is difficult and the result for the year will depend on our performance in the final quarter.”

The retailer saw total sales outside of the UK drop by 7.7 per cent in local currency terms. Total sales declined by 7.5 per cent.

In the UK, however, like-for-like sales were up 1.9 per cent, and Belgium and Ireland performed in line with expectations.