FOR IMMEDIATE RELEASE 20 APRIL 2010
Thorntons PLC
Trading Update and Interim Management Statement
Thorntons PLC ('Thorntons' or 'the Company') today reported its third quarter trading update for the 14 weeks up to and including 17 April 2010. Overall, Group sales since January were up 3.1% to £60.3 million, while Own Store sales declined by 4.9%. Sales of Thorntons branded products grew by 5.9%. In an economic environment where consumers remain focused on value, the Board is taking a cautious view on the outlook for the remainder of the year and now expects profit before tax and exceptional items will be approximately £7.5 million (2009: £6.3 million).
Key points
· Own Store sales declined by 4.9% to £33.5 million and like for like sales declined by 4.6%. The unusually severe weather conditions in the period and sales switching from our Own Stores to the Commercial Channel, particularly with boxed chocolates, proved challenging. While like for like sales in the run up to Easter were positive, Easter trading overall was below plan.
· Sales in the Commercial Channel continued to perform strongly with sales growth of 33.9% to £20.8 million. The launch of Melts into supermarkets and a successful Easter campaign helped contribute to the result.
· Franchise sales declined by 20.6% to £3.1 million. Whilst three stores were opened during the period, the total number remained at 222 compared to 254 at the same time last year prior to Birthdays going into administration. Franchise like for like sales experienced a similar trend to Own Stores.
· Thorntons Direct made good progress and grew by 32.4% to £2.5 million. Both the consumer and corporate business made a positive contribution. The personalisation of products with iced messages or photographs on chocolate boxes proved popular.
For further information please contact:
Cardew Group
Anthony Cardew / Nadja Vetter / Emma Consett T: 020 7930 0777
Sales growth % | Q1 14 weeks to 03-10-09 | Q2 14 weeks to 09-01-10 |
Q314 weeks to 17-04-10
|
Year to Date
|
Own Stores | +1.9% | -4.5% | -4.9% | -3.1% |
Franchise Stores | -15.2% | -18.1% | -20.6% | -18.1% |
Thorntons Direct | +2.4% | +10.9% | +32.4% | +15.2% |
Total Retail | +0.0% | -4.9% | -4.7% | -3.7% |
Commercial Channel | +40.4% | +42.6% | +33.9% | +38.5% |
Private label | -75.3% | -87.7% | -79.5% | -81.6% |
Total Commercial | +7.2% | +6.5% | +21.6% | +12.0% |
Total Company | +2.3% | -2.4% | +3.1% | +0.5% |
Note:- | ||||
Total Company excl Private label | +10.1% | +3.0% | +5.9% | +5.6% |
Like for like sales growth % | Q1 14 weeks to 03-10-09 | Q2 14 weeks to 09-01-10 |
Q314 weeks to 17-04-10
|
Year to Date
|
Own stores | +1.3% | -4.4% | -4.6% | -3.2% |
Sales £m | Q1 14 weeks to 03-10-09 | Q2 14 weeks to 09-01-10 |
Q314 weeks to 17-04-10
|
Year to Date
|
Own Stores | 27.1 | 51.7 | 33.5 | 112.3 |
Franchise Stores | 3.0 | 5.3 | 3.1 | 11.4 |
Thorntons Direct | 1.1 | 4.7 | 2.5 | 8.3 |
Total Retail | 31.2 | 61.7 | 39.1 | 132.0 |
Commercial Channel | 14.6 | 18.4 | 20.8 | 53.8 |
Private label | 1.0 | 0.6 | 0.4 | 2.0 |
Total Commercial | 15.6 | 19.0 | 21.2 | 55.8 |
Total Company | 46.8 | 80.7 | 60.3 | 187.8 |
Note:- | ||||
Total Company excl Private label | 45.8 | 80.1 | 59.9 | 185.8 |
Portfolio |
Stores as at 09-01-10 | New stores |
Resites | Closures |
Stores as at 17-04-10 |
Own Stores | 378 | - | - | -1 | 377 |
Franchise Stores | 222 | 3 | - | -3 | 222 |
Total | 600 | 3 | - | -4 | 599 |
Ends