Your browser is no longer supported. For the best experience of this website, please upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

Bonmarché issues profit warning

Value womenswear retailer Bonmarché has issued a profit warning, blaming poor in-store sales and dwindling consumer footfall.

The retailer now expects underlying profit before taxation for the full year 2019 to be approximately £5.5m, compared to £8m in 2018.

Despite steady growth in online sales, Bonmarché reported that store sales faltered in the second quarter of the year, blaming warm weather for a lack of demand for autumn stock, as well as a low footfall, as retailers see a general dwindling of consumer demand on the UK high streets.

Bonmarché currently operates 323 stores.

The revision to the forecast comes despite early signs of a turnaround at Bonmarché, with first quarter results having shown a 2.7% increase in sales for the 13 weeks to 30 June, boosted by a 27.3% rise in online sales, with store sales down by 1.2%.

Commenting on the announcement, chief executive Helen Connolly noted that the UK high street was in a tough position: “These are undoubtedly challenging times in the retail industry and, in common with many other businesses, Bonmarché’s store trading has been impacted by weaker consumer sentiment and footfall,” she said.

Connolly also stressed that despite the profit warning, Bonmarché was continuing to invest in its turnaround strategy: “We have continued to improve our proposition, particularly our digital capabilities, reflected in the strong online sales. We remain focussed on exploiting the opportunity afforded by the increasing demand for online shopping, whilst modernising the store offer and customer experience.”

“Whilst it is disappointing that the full year 2019 result is expected to be lower than originally planned, despite the challenging market, the health of the business remains strong.”

Readers' comments (1)

  • This retailer is fragile. 27% online growth yet profit warnings. Unconvinced there is a turnaround here.

    Unsuitable or offensive? Report this comment

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.