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Even if people are not shopping for themselves in the recession they are still spending on their babies, according to the boss of Mothercare.
“A mother may not be buying that extra handbag but they will ensure their children have everything they need,” said Ben Gordon unveiling a 12% jump in profits to £37 million in the year to the end of March. “We are in a very resilient market.”
In the UK, Mothercare's most recent like-for-like sales growth has come in at a High Street-beating 3.7% while abroad in the likes of Russia, the Middle East and India, sales have been soaring by 40%.
The international business now makes up 30% of Mothercare's profits.
“The Mothercare brand travels well and we have been doing well in Russia for instance, where we have 29 stores and where the country has been going through a baby boom,” said Gordon.
The dividend is up 20% to 14.5p but Gordon warned: “Given the uncertain consumer environment, we are planning cautiously for 2009-10.”
