Argos owner reveals 60% decline in profits

Argos' owner has pulled the plug on its shareholder dividend after revealing a 60% plunge in annual profits.

Home Retail Group's decision to cut the payout triggered a further 12% slump in shares.

The company, which also owns Homebase, made a profit of £90m (€110.2m) in 2011, down £60m (€73.5m) on the previous year.

The results have fuelled speculation over whether Home Retail plans to cull any of its estate of 748 Argos shops and 341 Homebase outlets.