Walker Greenbank slides as it warns on profits

AIM-listed luxury interior furnishings group Walker Greenbank warned on Wednesday that full-year profits are likely to be around 10% below its expectations.

In an update for the year to 31 January 2018, the company said that the momentum in order intake highlighted in the interim results in October has not been sustained, while brand sales in the UK, excluding Clarke & Clarke, have weakened significantly against management's expectations.

“The company is more than half way through the key autumn selling period and, owing to the disappointing UK brand sales and knock-on effect on manufacturing, the board now expects that profits for the year ending 31 January 2018 are likely to be approximately 10% lower than its expectations.”

The group said that while the UK remains its largest market, it is focused on driving the international business, where brand sales are ahead of the same period last year. It added that licensing income continues to grow strongly and said it now expects full year licensing income to be up around 15% on a like-for-like basis, in line with its expectations.

At 0855 GMT, the shares were down 24% to 160.50p.