Weak update hurts Mr Price
Disappointed investors punish the clothing retailer and shoot down its share price by close to 5%
Worried investors punished Mr Price Group on Tuesday, sending the share price down close to 5% after the retailer released a mediocre trading update. Mr Price said total retail sales in the quarter to December were 0.5% lower at R6.1bn compared with the year-earlier period, while comparable stores sales dropped 2.9%. 36One Asset Management retail analyst Evan Walker said it was a disappointing performance from the group. "This is probably the retailer that should be doing better in this environment. It’s a slight improvement from their last update, but still disappointing." Walker said it was unlikely to get easier for retailers going forward as the promotion and discounting trend would continue for some time.
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