Dobbies pre-tax profit down, cautious on year ahead


Dobbies pre-tax profit down, cautious on year ahead
Garden centre chain Dobbies posted an 11.7 per cent decline in 2007 pre-tax profit to £3.8 million after a £3.1 million charge related to a takeover battle last year.

Several parties were interested in Dobbies, which is seen as a rapidly-growing company, but Britain's biggest grocery retailer Tesco eventually won and is now the majority shareholder, with a 65 per cent stake.

Dobbies has been expanding this year and has opened new centres in Dunfermline, Chesterfield and Southport.

Like-for-like sales only grew by 1.4 per cent after a wet summer, although new space gave an overall upturn in sales of more than 20 per cent.

Dobbies is showing caution about the year ahead. Chairman Lucy Neville-Rolfe said: "It's no secret that at a time when many households are feeling the pinch from rising energy bills, fuel charges and high interest rates, retailers will have to compete harder than ever to succeed.

“The garden centre sector is no exception, and we remain cautious with regard to consumer economics in 2008."

The company said the weather had hurt sales of outdoor furniture and garden plants, but there was a 22 per cent increase for fruit and vegetables as a 'grow your own' trend took off.

Indoor living and restaurant sales remained strong, however.

The company told shareholders it would not be issuing a dividend this year and would be investing in expansion instead.

Bookmark with:
Bookmark with: Digg Digg Bookmark with: Delicious Bookmark with: Reddit Reddit Bookmark with: StumbleUpon StumbleUpon Bookmark with: Google Google Bookmark with: Technorati Technorati Bookmark with: Netvouz Netvouz

Latest News:

Search News
News Front Page
Accountancy / Tax
Advertising / PR
Armed Forces
Aviation / Aerospace
Banking / Finance
Charities / Voluntary
Childcare / Youth
Construction / Property
Customer Services
Education / Training / Teaching
Emergency Services
Engineering / Electronics
Entertainment / TV / Theatre
Graduate Roles
HR / Recruitment
Health / Beauty
Hotel / Catering / Restaurants
IT / Internet
Insurance / Pensions
International / Overseas
Management / Business
Manufacturing / Industry
Media / New Media / Creative
Medical / Healthcare
Pharmaceutical Industry
Public Sector
Retail / Wholesale
Sales / Purchasing / Marketing
Science / Technology
Secretarial / PA / Admin
Skilled / Semi-skilled Manual
Transport / Logistics
Travel / Tourism / Leisure