Carpetright losses increase because of the Netherlands | RetailDetail

Carpetright losses increase because of the Netherlands

Carpetright losses increase because of the Netherlands

Carpetright has increased its losses as the British flooring specialist has closed its fiscal year with a pre-tax loss of 7.2 million pounds (some 9 million euro), blaming mainly the Netherlands.

Huge sales drop in continental Europe 

The turnover in its past fiscal year dropped 2.2 % to 447.7 million pounds (or 560 million euro), but the British chain managed to keep the sales drop relatively low in its home market, namely 1.5 %. The rest of Europe (which is Ireland, Netherlands and Belgium for this particular company) experienced a far greater turnover drop, namely 5.4 %.

 

The like-for-like comparison is even more striking as the British numbers dropped 0.2 % while the rest of Europe dropped 8.6 %.

 

Carpetright mainly blames the weak Dutch market, where consumers spend a whole lot less on the decoration of their house, which impacts both the company's turnover and its profit position.

 

Operating income halved

The entire situation led to the operating income dropping from 9.7 million pounds to 4.6 million pounds (or 5.8 million euro). If one-time costs are added into the calculation, then the 5.1 million pound loss in 2013 grew to 7.2 million pounds now (9 million euro).

 

"We anticipate trading conditions will remain challenging", soon-to-be-former chairman Lord Harris said. On 21 July, Wilf Walsh will become his successor after plying his trade at music chain HMV and bookmaker Coral.

Questions or comments? Please feel free to contact the editors


Rive Gauche sold to CBRE Global Investors after excellent year

27/03/2018

Charleroi’s shopping center Rive Gauche has done very well last year and will now get a new owner. It attracted 650,000 visitors a month last year, becoming the second most popular shopping center in Belgium.

Canadian owner for Dockx Bruxsel shopping center

27/03/2018

Canadian investor, Alberta Investment Management Corporation, paid about 300 million euro for Docks Bruxsel, a shopping center in Brussels. Developer Equilis had been looking for a buyer as soon as it completed the project in 2016.

Mitiska Reim acquires third German retail park

26/03/2018

Six months after entering the German market, Mitiska Reim is announcing the acquisition of a third German retail park. The Belgian retail investor has partnered with Zamberk Real Estate Ventures to renovate and manage a retail park in Braunschweig.

Extension makes Westfield Europe's largest shopping centre

22/03/2018

The Westfield shopping centre in West London is now Europe’s largest, after its 68,748 sqm addition was put to use six months ahead of schedule. The extension cost about 600 million pounds (some 700 million euro).

Amazon targets Toys 'R' Us stores

20/03/2018

Amazon is apparently interested in several of bankrupt Toys ‘R’ Us’ stores, because their locations and stores would fit Amazon’s own retail formulas.

Banimmo sells French retail real estate division

01/03/2018

Belgian listed real estate developer Banimmo sold its French subsidiary, which specialized in retail real estate transformation. It has been sold to help lower the parent company’s debt.