Mothercare executives have said that the infant and nursery retailer is making "good progress" after the first year of its ‘Transformation and Growth’ plan was completed.
Financial highlights for FY12/13 saw group underlying profit before tax improving to £8.3 million, with international profits of £42 million (up 20.3 per cent) and UK losses reduced to £21.7 million (FY2012: £24.7 million).
International like for like sales were up 5.6 per cent, while UK like for like sales were down 3.6 per cent. This improved over the year and was helped by a positive contribution from Direct in Home.
As well as a new executive team now being in place, Mothercare also closed 56 loss making UK stores, ending the year with 255 outlets.
Alan Parker, Mothercare chairman, stated: "It has been a busy and successful year in the transformation of Mothercare. The group’s profitability has improved, in line with our plans, and we have delivered the first phase of our Transformation and Growth plan.
"I look forward to the year ahead, confident that the group is moving in the right direction."
Simon Calver, Mothercare chief executive, added: "It is still early days and our customers are already beginning to respond positively, buying more products on each trip and increasing their customer satisfaction scores.
"Our international franchise partners continue to perform very well, driving both Mothercare and Early Learning Centre forward in 60 countries worldwide and delivering robust sales and profit growth.
"Our results reflect the progress we have made against our plans to reduce UK losses and deliver continued international profit growth. After the first year of our Transformation and Growth plan, the company is on a firmer footing."
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