All eyes on Christmas for Thorntons as sales jump
CHOCOLATE retailer Thorntons yesterday said it was well-positioned for Christmas as it posted a 2.3 per cent rise in first-quarter sales, sending its shares up by five per cent in morning trading.
Thorntons, which trades from 378 stores and 199 franchises, said its total sales increased to £46.8m in the 14 weeks to 3 October, up from £45.7m in the previous corresponding period.
Shares in the 98-year-old firm, which have increased in value by 55 per cent over the last quarter, closed up 2.5 per cent to 121p, valuing the business at £82.7m.
Own store sales increased 1.9 per cent, with like-for-like sales up 1.3 per cent. Thorntons Direct sales were up 2.4 per cent, and sales to other retailers were up 7.2 per cent.
Chief executive Mike Davies said: “We are better prepared for what might come our way at Christmas. We know it’s going to be competitive.”
He said the recent launch of a new range of chocolates targeted at young women underpinned his confidence.
The group’s franchise sales fell 15.2 per cent as a result of the administration of card retailer Birthdays, which operated 94 franchises.
Davies said he did not think Thorntons’ business would be significantly affected if Kraft Foods took over Dairy Milk maker Cadbury.