Shoe Zone says trading 'marginally' below expectations, shares tumble

Shoe Zone tumbled on Tuesday after it said trading was "marginally" below expectations, pinning part of the blame on a rise in the national living wage and higher costs due to Red Sea disruption.

In a statement ahead of the shoe retailer’s annual general meeting, chief executive Anthony Smith said: "The last financial year was another successful year of further growth, in which we continued to execute our store refit and relocation programme.

"At this stage of our financial year, trading is marginally below expectations, due to a higher than expected increase in the National Living Wage, an increase in container costs due to the ongoing situation in the Suez Canal, higher costs associated with upgrading our property portfolio and the impact of a slower than expected end to our Autumn/Winter season."

At 1110 GMT, the shares were down 13% at 242.89p.