Essex Furniture shares slump after profits warning
Saturday 29 August 1998
The profits warning knocked 28 per cent off the value of Essex Furniture shares, which have been in freefall for a year. They closed down 9.5p at 20.5p, valuing the company at less than pounds 3m.
Though sales in the six months to June have been ahead of the same period last year, this has been offset by lower margins and higher advertising and other costs totalling pounds 2.8m more than last year. The company expects losses of up to pounds 3.7m in the first half and a loss in the full year.
The company is implementing a cost-cutting plan which will include the closure of the Southend factory. Production will be moved to itsDudley plant.
Ted Fisher, finance director, is retiring. He will be replaced by Stephen Smith who will act as interim finance director.
The news is the latest in a string of downbeat announcements from retailers in the furnishings sector. DFS Furniture, MFI, Carpetright and Allied Carpets have all issued profits warnings or reported slower sales since the spring.
It is understood that Essex Furniture, which is to change its name to Furniture Workshop, put itself up for sale a year ago but failed to find a buyer. In May, the company reported a slight dip in profits from pounds 920,000 to pounds 913,000 on sales of pounds 34.1m. Shares in MFI fell a penny yesterday to a new low of 39.5p.
- 1 Mystery of the Siberian holes at the end of the world 'solved': Scientists offer explanation
- 2 Pope Francis issues top 10 tips for happiness
- 3 Disney heiress Abigail disowns her share of family profits in West Bank company
- 4 Israel's propaganda machine is finally starting to misfire
- 5 Sean Hannity reacts to Russell Brand's Israel-Gaza criticism: 'You're a dumb actor known for your failed marriage to Katy Perry'
Lost portraits of the Somme: 100 images of Tommies posing before they went over the top. Now can you help to identify them?
Mystery of the Siberian holes at the end of the world 'solved': Scientists offer explanation
Pope Francis issues top 10 tips for happiness
Sabina Altynbekova, the girl branded 'too good looking' for volleyball, says social media obsession with her is a 'bit much'
Ashley Cole tweets unsettling meme of him stalking ex-wife Cheryl Cole and new husband Jean-Bernard Fernandez-Versini
Land for gas: Merkel and Putin discussed secret deal could end Ukraine crisis
Woman and two children killed by mob in riots over 'blasphemous' Facebook post in Pakistan
Richard Dawkins tweets: 'Date rape is bad, stranger rape is worse'
Putin is 'thuggish, dishonest and reckless', says British ambassador to US
Boozy, ignorant, intolerant, but very polite – Britain as others see us
A new Russian revolution: The cracks are starting to appear in Putin’s Kremlin power bloc
- < Previous
- Next >
iJobs Money & Business
£300 - £350 per day: Orgtel: Financial Analyst, Forecasting, Halifax, Banking,...
£500 per day: Orgtel: Business Architect - Banking - Bristol - £500 per day A...
£200 - £500 per day + competitive: Orgtel: I am currently working on a large p...
£18000 - £23000 per annum + Commission: SThree: Real Staffing are currently lo...