Laura Ashley shares hit all-time low as fashion retailer sounds alarm

Shares in fashion retailer Laura Ashley hit an all-time low today after it issued a warning over its full-year results amid difficult trading conditions.

Read more: Laura Ashley issues profit warning as sales slide

The struggling brand saw its share price fall over 20 per cent this morning to 2.21p. It has since rebounded somewhat to 2.7p, meaning it shares have fallen 3.6 per cent across the day.

Today’s statement was the second warning in 2019 for the fashion and home furnishing shop. In February it said low consumer spending meant its 2019 performance would miss market expectations.

The company today said: “Trading conditions have been very demanding over the third quarter.” It said the board expects its full-year results “to be significantly below market expectations.”

Laura Ashley’s difficulties are another sign of a floundering British high street. Last year, Sports Direct owner Mike Ashley voiced retailers’ concerns about a very tough end to the year. “Retailers just cannot take that kind of November. It will literally smash them to pieces,” he said.

David Madden, market analyst at CMC Markets, said: “The second profit warning from Laura Ashley in just two months underlines how tough trading is for high street firms.”

“The company’s timing isn’t great, as some customers are holding off on big ticket spending like furniture due to the lack of clarity in relation to Brexit,” he said.

Laura Ashley’s full-year results are due on 22 August.