Boots Q2 sales higher

UK health and beauty retailer Boots said today that sales in its main chemist chain had picked up in the second quarter and it was confident of meeting its full-year trading expectations.

Boots is trying to reinvigorate sales in the face of stiff competition from supermarkets by moving into more upmarket products and services and more recently by sprucing up stores.

"Management remains confident that it will deliver a full year trading performance in line with expectations at the start of the year," a statement said, adding that its investment programme remained on track.

In an update before its half-year results on November 7 the retailer said sales at the main chemist chain - which has over 1,400 shops - grew more than 2.5pc on a like-for-like basis during the first half.

First-quarter growth at the chain, which contributes about 85pc of group profits, was just 0.9pc on a like-for-like basis. Boots said the sales mix was similar in both periods.

A spokesman for the company said that the company expects the margin to be 'broadly flat' over the full year. He said second-quarter sales growth was led by 'lower margin healthcare sales', such as dispensary drugs, which contributed to a 40-50 basis point drop in margin in the first half.

Boots has 29 stores in Ireland, employing 1,200 staff.