Mike Ashley’s Frasers Group has cut its profit outlook following a decline in sales and profits, sending its shares down as much as 15 per cent on the day it fell out of the FTSE 100.
The retail group, which owns Sports Direct, Flannels and House of Frasers, said it expected full-year adjusted pre-tax profit of £550 million to £600 million, having previously guided to profits of £575 million to £625 million.
The profit downgrade came after interim pre-tax profits fell 33 per cent to £207 million in the six months to October 27. Revenue slipped to £2.5 billion, down from £2.7 billion, which it blamed on weaker confidence among shoppers.
“Both ahead of and after the recent budget, consumer confidence has weakened and recent