Belfast Telegraph

ScS sees orders fall 5% amid tougher trading

Sofa chain ScS has revealed second-half orders slumped by 5% as it battled against tougher trading.

The group said the like-for-like decline came as it was hit by more difficult retail conditions and failed to match up to strong sales a year earlier.

Like-for-like order intake overall in the year to July 29 fell by 0.7%, but the group insisted this was in line with expectations.

It said annual like-for-like orders rose 14.3% compared with sales from two years ago.

David Knight, chief executive of ScS, said: "We are pleased that despite the challenging comparatives and wider market backdrop we have traded in line with the board's expectations for the year."

The group warned on reporting interim results in March that it faced challenging comparatives and a softening retail market.

It comes after rival DFS recently posted a slump in customer orders and cautioned over "significant declines in store footfall".

DFS will report its latest trading update on Thursday.

Retailers have been flagging up a slowdown in consumer spending as shoppers rein in spending due to soaring inflation.

Fashion chain New Look alerted over "fragile" spending on Tuesday as it revealed quarterly like-for-like sales had tumbled by 7.5%.

But independent retail analyst Nick Bubb said the full-year update from ScS was "reassuring", with the 5% fall in orders over the second half better than feared.

Weekly Business Digest Newsletter

This week's business news headlines, directly to your inbox every Tuesday.