Thorntons warns on profit
Chocolate maker Thorntons has issued a profit warning today blaming high levels of promotional activity and the ongoing weakness in consumer confidence on the high street.
The 100-year old group, which has 579 UK stores, said pre-tax profits would be around break even. The company has already announced plans to close a third of its stores.
In a statement issued today the group said: "Following continued weakness in consumer sentiment and high levels of promotional activity in the market place, the board now considers profits for its full year will fall short of current expectations.
"The board now believes that profit before taxation, exceptionals and impairment and onerous lease charges will be around break even for the 53 weeks ending 30 June 2012."
Thorntons undertook a strategic review earlier this year after which it annouunced that it would close a minimum of 120 stores and introduce improved merchandising, updated store layouts and new products.
Last year the group achieved pre-tax profits of £4.3 million.
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