Due to low consumer confidence and the unseasonably cool weather, retail fashion group Noni B has reforecast its profits for the first half of 2011.
The company said it expects to achieve an after-tax report in the range of $1.5 to $1.9 million compared to $3.6 million in the previous corresponding year. It has also estimated that comparative store sales will be 2.5 per cent below the previous corresponding period.
According to Noni B, while margins have been impacted by discounting in order to maintain sales volumes, the company’s conservative inventory position has enabled it to avoid the worst of the unprecedented discounted that has taken place in the market.