Jessops optimistic after stock cull

Camera retailer Jessops said today it was confident of rebuilding profits after slashing stock levels under a restructuring plan.

The retailer, which has more than 260 stores in the UK, six in the North and one in Dublin saw losses of almost £70m (90m) in its last financial year. It said today that like-for-like sales were 5.1% lower in the 25 weeks to March 22.

But Jessops said good management and the closure of 81 stores had cut stock levels to £29m (€37m) from £51m (65m) a year earlier – a reduction it said had been achieved without affecting product availability.

It is hopeful the second half of the financial year, which includes the busy summer trading period, will see further benefits following the launch of “new and innovative” products.

Executive chairman David Adams said the company faced “a difficult and uncertain environment”.

However, he added: “The board remains confident that the group is on the right track to build sustainable profitability.”