Results centre

Full year results
18/05/17

Mark Newton-Jones, Chief Executive of mothercare plc, said:

“We are now in the third year of our turnaround and I am pleased to report that we have achieved much of what we set out to do from our six pillar strategy introduced in 2014. Whilst we are proud of what we’ve achieved to date, we believe we are only half way through the transformation of the Mothercare brand.”

“Following a difficult start to the year, the UK recovered in the second half, returning to underlying profit for the first time in six years. International markets showed signs of recovery with strong growth in Russia and Indonesia, and a sales recovery in China, albeit the country is yet to return to positive cash profit. The Middle East continues to be economically challenging. We have launched ten new websites globally, bringing our total to 21 countries now trading online.”

“Through our work over the past 3 years and with an extensive database of over 3m, we have developed a far deeper understanding and insight into our customers and the importance of our brand to them. This knowledge can now inform us as to how we shape our business and our ranges, to become ever more relevant to our modern digitally enabled customer.”

“Our customers shop across both digital and store channels and thus we will invest in both. Digital revenue is on a trajectory to be over half of our turnover. We are clear in the role our stores will play for the future, by offering specialist advice and service and first class product presentation. Store numbers will reduce over time as we focus on a regional presence in key conurbations across the UK.”

“We shall focus our product offer on maternity, newborn, baby and toddler up to pre-school. We are a true specialist in these categories and thus we will build our future ranges and our services upon this basis.”

“Over time, this simpler approach will lead to a leaner, more agile business resulting in more stable and sustainable cash flows.”

“Our vision remains clear: to be the leading global retailer for parents and young children.”