Blacks Leisure Group, PLC reported that total group sales for the 19 weeks to July 9, 2005 increased by 5.2%. Comparable-store retail sales fell by 2% for the same period, against a 4.2% increase last year.
The group's overall gross margin is over 2.5% ahead of the same period last year. This improvement relates to a combination of factors including improved supplier terms, lower discounts due to improved stock and financial controls and weakness of the US dollar.
The current retail market remains challenging and the company does not expect to see an early improvement in trading conditions. The outcome for the first half and the
full year will be dependant on trading against a strong August last year and in the seasonably more important second-half. Blacks' Board continues to believe that its strategy of focusing on its leading positions in Outdoor and Boardwear underpins prospects for the year as a whole.
In Outdoor, Millets now trades from 270 stores and Blacks Outdoor from 93 Stores, including four Out of Town stores, and 22 Outdoors stores acquired from the Scout ssociation. In Boardwear, Freespirit now operates from 37 stores, Just Add Water from 13 and O'Neill from 16. These numbers include nine new openings since the start of the year together with five conversions of the acquired Outdoors stores.
