WORSE-than-expected retail sales dragged down Woolworths' full-year profits by more than 60 per cent, the company has announced.
The high street retailer posted underlying pre-tax profits of just £21.8 million for the 53 weeks to February 3, compared with £57.7 million the previous year.
Woolworths was hit by falling CD and DVD prices through increased competition from supermarkets and online sellers as like-for-like retail sales fell 6.6 per cent.
The slump in sales led to a £12.9 million loss from its continuing retail high street operations, against a £17.1 million profit previously.
But there was a brighter performance from the company's wholesaling and publishing business, which posted adjusted profits of £53.7 million.
Woolworths chief executive Trevor Bish-Jones said: "The environment ahead is going to be fairly challenging and we are going to look to control costs like we did last year."
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article