Thorntons sales melt in final quarter
Derbyshire-based chocolatier Thorntons has reported a drop in sales for its final quarter of 1.1 per cent.
The Alfreton-based business says sales of its Thorntons branded product grew by 4.7 per cent for the year up to 26 June 2010 though own store sales had dropped by 6.2 per cent to £17.5m.
The company said its own stores sales have continued to experience like-for-like sales declines, in part due to higher than anticipated discounting of excess stocks, which have now been cleared.
Franchise sales increased by 20.2 per cent to £1.6m during the quarter as the prior year comparator was impacted by the effect of the Birthday stores going in to administration, the company said.
Thorntons Direct grew by 17.1 per cent to £0.9m with "good recovery of sales" to corporate customers in the second half.
Sales of the Thornton branded product in the commercial channel rose by 7.2 per cent to £6.5m despite a period of "destocking by retailers" following Easter.
But sales in June returned to forecasted levels and full year sales, excluding private label, and grew by 34.3 per cent to £60.3m.
