Business
Full Year Results 2023
Full Year Results 2023.
About this update from Mothercare Plc
[{"type":"text","content":"\n\nMothercare plc\n \nFull Year Results 2023\n \nFurther progress made on the journey towards becoming an asset-light, global franchising business\n \n \nMothercare plc (\"Mothercare\", \"the Company\" or \"the Group\"), the highly trusted British heritage brand, that connects with the parents of newborn babies and children across multiple product categories throughout their early life as parents,, today announces full year results for the 52 week period to 25 March 2023. Comparatives are based on the 52 week period to 26 March 2022.\n \nKey Highlights\n \n• 9% increase in net worldwide retail sales by franchise partners in continuing markets of £322.7 million (2022: £297.1 million excluding Russia, £385.3 million including Russia).\n• Adjusted EBITDA of £6.7 million (2022: £12.0 million), ahead of analysts' expectations.\n• Net borrowings of £12.4 million (2022: £9.9 million) at the year end.\n• Pension scheme deficit materially reduced to £35.0 million (March 2020: £124.6 million).\n• Pension contributions reduced by £38.8 million to £34.9 million.\n \nCurrent Trading & Outlook\n \n· In the first twenty five weeks of FY24, the Group's Franchise Partners recorded total retail sales of £132.5 million (FY23: £156.8 million), with the decline largely resulting from the continuing challenges in our Middle Eastern markets\n \n· We expect to complete a refinancing shortly and remain in discussions with a number of key stakeholders and financing partners, to ensure that the Group has adequate and appropriate financing for the future.\n \n· Our medium-term guidance for the steady state operation, in more normal circumstances, of our continuing franchise operations remains that they are capable of exceeding £10 million operating profit and that opportunities exist to grow our global footprint further.\n \n· We are now focused on both restoring critical mass and monetising the Mothercare global brand IP.\n \n \nFinancial Highlights \n \n· Loss for the 52 weeks to 25 March 2023 of £0.1 million (2022: £12.1 million profit)....