Carpetright sees losses of over £5m as profits hit by exceptional items

Carpetright has released preliminary financial results for the year to 27 April (release). The firm has seen pre-tax losses of £5.1m, as a result of losses from exceptional items of £14.8m (which related to "a combination of net losses on disposal of properties, onerous lease provisions and non-cash impairment of property assets). Last year the company saw profits of £13.5m.

Like-for-like revenues grew by 2.2 per cent, with underlying profit before tax up by 142.5 per cent.

Commenting on the results, Darren Shapland chief executive said:

The Group grew underlying profits and generated cash during the year, with an encouraging increase in UK retail store like-for-like sales and a significant improvement in gross profit percentage year-on-year. In the Rest of Europe, trading conditions in the Netherlands remained difficult whilst progress has been made in the recovery plan for the Republic of Ireland.