StockMarketWire.com - Fashion retailer Quiz said it expected to post a 5% fall in first-half revenue amid a difficult trading environment in the UK.

Revenue for the six months through September was seen falling to £63.3m, down from £66.7m on-year.

Gross margin was expected in line with expectations at around 61%.

Online revenue grew 7% to £20.0m, once adjusted for unprofitable revenue streams terminated during the year.

Revenue at the group's physical stores and concessions, however, had fallen by a worse-than-expected 11% to £31.3m.

'As has been widely reported across the sector, and as previously stated by Quiz, the trading conditions on the UK high street have remained very challenging,' the company said.

'The group's stores and concessions have experienced a reduction in footfall during the period against the prior year, resulting in weaker than initially anticipated sales.'

The rate of decline, however, had reduced in recent weeks, Quiz said. 'Overall, the group's trading performance in the first half has been broadly in line with the board's expectations despite the difficult UK trading environment,' chief executive Tarak Ramzan said.

'Sales growth through Quiz's websites has continued, reflecting the investment in our product range and marketing initiatives. '

'Whilst trading conditions are expected to remain challenging in the near term, the board remains confident that underpinned by Quiz's flexible business model and an increasing online focus, the group can return to sustainable profitable growth in the medium term.'



Story provided by StockMarketWire.com