Due to less stable political situations in some of its countries, Mothercare PLC lost money before taxes in the first half of fiscal year 2025.
On Monday, the U.K. baby products store recorded an adjusted pre-tax loss of 1.4 million pounds ($1.8 million) for the 26 weeks ending September 28. This is down from a pre-tax profit of 1.8 million pounds during the same time last year.
Earnings before interest, taxes, depreciation, and amortisation went up by a small amount, from 3.6 million pounds to 1.7 million pounds. Sales went down from 29.0 million pounds to 21.0 million pounds.
It said that problems in its Middle Eastern markets were to blame for a drop in worldwide retail sales by franchise partners from 137.2 million pounds to 121.2 million pounds.
“Our results continue to reflect the impact of the continuing uncertainty on our franchise partners’ operations in the Middle East,” Clive Whiley said.
