Carpetright issues another profit alert

City A.M. Reporter
Carpetright, Britain's biggest floor covering retailer, warned on profits for the second time in as many months, as shoppers hold back on expensive purchases amid rising bills and government cuts.

The group, which trades from around 700 stores in Britain, Ireland, the Netherlands and Belgium, said profit before tax and one-off items for the year ended 30 April would be broadly in line with 2008/9's figure of £17.2m.

It had said in February it expected profits to be above that level, but below 2009/10's £28.2m.

A string of British retailers inluding household goods group Home Retail, electricals retailer Dixons, mother and baby products chain Mothercare and music to books group HMV have warned on profits in recent weeks.

Bellwether group Marks & Spencer (MKS.L) said on Wednesday it was benefiting as shoppers cut back on major purchases, but still allow themselves "affordable treats."

Carpetright said it would issue its normal year-end trading update on April 27.