Ted Baker shares sink further after £23m loss
Shares in beleaguered fashion brand Ted Baker plummeted for the second day after the retailer revealed it swung to a loss and warned on future profits.
Ted Baker shares are down more than 15 per cent this morning, following a 35 per cent plunge yesterday.
Read more: Ted Baker shares crash as retailer swings to loss
The sell-off was sparked by the announcement that the retailer had booked a £23m loss in the six months to August, down from a £24.5m profit last year.
The company warned that second-half profit would also fall below last year if things do not improve.
Ted Baker blamed its troubles on a challenging trading environment, acquisition costs and £2m from the fallout of misconduct allegations against its former chief executive.
The brand’s online business also suffered, as revenue dipped 1.3 per cent to £52.3m.
In June, the company warned that profit would be down in the first half of the year.
Chairman David Bernstein said: “The group’s performance has been impacted by very difficult trading conditions throughout the period, amplified by heightened levels of consumer uncertainty across many of Ted Baker’s global markets.”
Read more: Debenhams finance chief quits to join Ted Baker
Bernstein also warned that trading has started slowly in the second half of the year, and “this will have an impact on the full year outcome”.
“If these trends continue, we will achieve a second half result below that of last year,” he warned.
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