Carpetright plc has announced an update on trading for the 13 weeks ending 26th July 2014.
Like-for-like sales in the UK increased by 6.1%, while total sales increased by 5.2%. During the period, four stores were opened and nine closed. There are now 467 stores trading, of which 283 have been modernised.
According to Carpetright, the UK business saw small but steady improvements in sales growth during May and June, with this trend accelerating significantly during July, assisted by weak comparatives in 2013 when sales were impacted by a prolonged period of hot weather. Over the period, gross profit margins have decreased by 260 basis points, a consequence of implementing market-beating promotions.
In local currency terms, like-for-like sales in the Rest of Europe (Netherlands, Belgium and the Republic of Ireland) decreased by 3.6%. Total sales declined by 3.9%. After the impact of currency movements this translates to a 10.1% decrease in total sales.
Sales across Carpetright's Rest of Europe business units have shown signs of improvement on the recent trend, with a reduction in the rate of decline. Its businesses in the Netherlands and Belgium have returned to profit in the first quarter of the financial year.
The group will report its pre-close trading update for the first half of its financial year on 14th October.
