Bonmarche first-quarter sales boosted by online

26th Jul 2018 09:34

(Sharecast News) - Women's value retailer Bonmarche was on the rise as it said first-quarter sales were boosted by its online offering.In the 13 weeks to 30 June, sales were up 2.7% against the corresponding period a year ago, with online sales 27.3% higher and store only like-for-like sales down 1.2%. This compared to online growth in Q1 of FY18 of 39% and store only LFL sales growth of 4.2%. Also on Thursday, the company lowered the earnings cover target for its dividend to a range of 2x to 2.5x earnings from 2.5x to 3x earnings previously."The board's intention is that attainment of a cover within this range will be accomplished over a period of time, and that assuming profits grow, future dividends will be increased at a rate which simultaneously increases the dividend cover," it said.Chief executive Helen Connolly said: "I am pleased with the improvement in trading in stores compared to the second half of FY18 and in the continued momentum of our online sales, particularly against strong prior year comparatives."The improved sales performance during the first quarter, achieved in a clothing market which, whilst helped to some extent by more seasonal weather, remains challenging, underpins our confidence in the strategy, and the board's expectations for the full year remain unchanged."At 1325 BST, the shares were up 5.5% to 116p.