Pumpkin Patch [NZX: PPL], which slashed its earnings forecast earlier this year, will take a $12 million charge to write down the value of stores and IT software, while posting underlying profit in line with guidance.
The children's clothing chain said a provision for the write down of IT software and store assets will be reflected in its 2014 results, taking total reorganisation costs to $12 million. Post-tax earnings before reorganisation costs were between $1 million and $2 million in the 12 months ended July 31, in line with its May guidance of between $1 million and $3 million.
The Auckland-based retailer embarked on a strategic review in a bid to revive its ailing performance, focusing on its store footprint, stock levels, and an IT system upgrade.
Pumpkin Patch said early trading in the 2015 financial year was "encouraging" with summer season collections "positively received."
The shares were unchanged at 42 cents yesterday, and have slumped 53 percent this year.
This article is tagged with the following keywords. Find out more about MyNBR Tags
- Whanganui’s Sarjeant Gallery to get multimillion dollar extension
- iPredict decision the work of 'officious aliens' – Crampton
- Fire planners and let people decide
- Joyce associates openly talking about leadership change
- Parent, widow of Pike River casualties fail to force review of decision to drop charges against Whittall
Most listened to
- Tim Hunter on why Veritas is doing it the hard way
- Matthew Hooton on whether Steven Joyce will be the next national leader
- Rodney Hide on why all city planners should be fired
- Nevil Gibson discusses his latest Editor's Insight on films
- The NBR crew throw around some of the week's top stories
- Rob Hosking breaks down the political and economic week that was
- "A tragedy" - David Farrar on his disappointment with Simon Bridges
- New F&P product pipeline exciting, says Macquarie senior investment adviser Brad Gordon
- Taupo Motorsport Park executive director Tony Walker on the park's rebranding
- NZIER senior economist Christina Leung on why she does not think the OCR will hit 2%
- NBR's Cameron Officer talks about the NBR Car of the Year 2015
- John Barnett on Brewer: ‘Boy, has he got a bit to learn’