BONMARCHE PLUNGES AS PROFITS COME UP SHORT

MORE than £9m was wiped off the value of the budget womenswear chain after it warned that profits would be lower than previously expected.

The retailer blamed warmer weather and fewer shoppers in the High Street as it admitted that full-year profits were likely to come in at £5.5m rather than the £8m it had forecast.

Shares yesterday plunged 18.5pc, or 19p, to 84p – reducing its value by £9.5m.

Helen Connolly, chief executive, said: ‘We remain focused on exploiting the opportunity afforded by the increasing demand for online shopping, while modernising the store offer and customer experience.’

Bonmarche said warm weather in recent weeks had delayed customers buying autumn clothes such as jumpers and coats. ÷ Profits at Swedish fashion retailer H&M plunged 20pc to £350m in the three months to August 31 after a new logistics system hit sales in a number of countries. Overall sales grew 9pc to £4.8bn.