UK confectioner Thorntons has reported a 39% fall in half-year profits as tough high street shopping patterns forced the retailer to cut prices.
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For the 28 weeks ended 10 January, Thorntons made a pre-tax profit of GBP7.3m ($10.32m), down from GBP11.9m for the same period a year earlier.
Revenues were 1.3% higher at GBP128.4m. The company said it was continuing its efforts to reduce costs.
The company said own stores sales declined during a period in which high street trading conditions deteriorated, but it did not give an exact figure.
Thorntons franchises grew by 3.7% and its commercial business grew by 8.9%, generating around a quarter of sales.
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By GlobalData“Profit was adversely affected by increased promotional activity in response to rapid market decline during the second quarter,” said Mike Davies, Thorntons chief executive.
“With prudent cost management, product innovation and keeping customers at the forefront of our thinking, I am confident that we will emerge from the current conditions a stronger, more profitable business.”
