International sales lift Mothercare profits

20th May 2009 07:34

Baby care retailer Mothercare hiked dividends by 20% as full-year profits surged ten-fold following record performance from its international division.Pre-tax profits jumped to £42.2m from £4.5m last year on revenue that increased 6.9% to £723.6m. Total dividend was raised 20.8% to 14.5p.Like-for-like sales growth in the UK was 1.4% and in International up 6%. International overall franchisee retail sales for the year rose 40.9% to £404.2m and underlying profits up by 47.9% to £13.9m, with Russia contributing the highest international sales numbers.The group said international represents the biggest single growth opportunity and it now has 609 overseas stores in 50 countries outside the UK. Mothercare also said the integration of the Early Learning Centre is now largely complete and has delivered benefits beyond its expectations."Given the uncertain consumer environment, we are planning cautiously for 2009/10, however we are well placed as we enter the new financial year, benefiting from our growing International platform, resilient multi-channel UK business, strong cash flow and debt free balance sheet," said the group.