Furniture giant DFS, which holds French Connection and Joules licenses, saw a sharp drop in its annual profits after a “significant deterioration in the consumer market” hurt sales in the second half of the year.
French Connection had some good news on Tuesday with an improving performance and Veryexclusive's Sarah Curran joining the board. But its turnaround is still far from certain as losses continue and sales are still down.
British furniture retailer DFS said its earnings would be at the lower end of forecasts after orders declined April to June, reflecting an uncertain economic environment, thw national election and warm weather.
There’s a lot of contradictory data coming out of the UK at the moment but one thing is clear, while some stores are prospering, others are finding this spring/summer a struggle with fashion sales dropping last month.
Hedge funds have significantly stepped up bets against Britain's traditional high street retailers, as the sector struggles with online competition, worries about a stretched consumer and weakening sales and profits.
Apax Partners seems to be the frontrunner to buy fashion and GM e-tail giant Shop Direct, yet it’s still not a one-horse race with US private equity firm Hellman and Friedman also reported to have entered the fray.