StockMarketWire.com - Suit retailer Moss Bros said it had decided to temporarily close all of its stores due to the spread of Covid-19 and government containment measures.

'Whilst the initial impact was relatively benign, over the last week we have seen a significant reduction in footfall across our retail outlets and in orders in our Hire businessm' Mos Bros said.

'As such, the group has taken the decision to temporarily close all its stores until further notice.'

Mos Bros said it that Covid-19 could result in a sharper decline in trading performance if mass gatherings, such as Ascot, were voluntarily cancelled or prohibited.

'The group expects that the effects of COVID-19 will result in a significant reduction in revenue and profitability for the year ending 30 January 2021, however it is too early to determine the precise quantum at this stage.'

Mos Bros, which recently received a takeover bid from Brigadier Acquisition, said it was debt free, retained cash in the bank and was 'taking all necessary action to reduce costs and conserve cash'.

'With these actions, the group believes that it has the ability to withstand significant revenue decline through to the beginning of the second half of the 2021 financial year,' it said.




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