Camera specialist Jessops has warned that losses this year will be worse than last year, as tough trading conditions continue to bite.

Jessops expects to lose more than£7.5 million this year, in the wake of a steep fall in like-for-like sales since its interim results in May.

In the three weeks to July 13, comparable store sales plunged 11 per cent and, in the 41 weeks to the same date, they slid 5.7 per cent.

Jessops executive chairman David Adams said that the retailer remains cash-generative and is operating within existing banking facilities. He said EBITDA would be ahead of last year’s£4.4 million and that, despite worsening trading conditions, improvements are bearing fruit.

Adams said: “The actions we have taken throughout the course of this year have resulted in a gross margin increase of more than 200 basis points, significantly decreased overheads and stock levels.”

Topics