Carpetright suffers amid ‘fragile’ trading

Flooring retailer Carpetright today blamed “fragile” consumer finances as it reported wider annual losses.

The firm, which has 614 stores across the UK and Europe, posted a pre-tax loss of £7.2 million for the year to 26 April, compared with £5.1m a year earlier.

Total sales fell 2.2 per cent to £447.7m as the chain opened 14 stores but closed 20.

It said: “Operations in the UK continued to be challenged by a fragile consumer environment where the disposable incomes of our customers remained under pressure.

“The key driver in the performance of the rest of Europe continues to be the deterioration of consumer confidence in the Netherlands, where the floor coverings market remains weak.”

Executive chairman Lord Harris – who will step back to a non-executive role when Wilf Walsh becomes chief executive next month – said trading conditions are expected to remain “challenging” this year.