Dealz owner Pepco warns trading environment remains challenging

The group noted disruption to Red Sea shipping continued to lead to some surcharges in freight rates and delays to container lead times.

Dealz owner and discounter Pepco Group on Thursday reported a 2.5% fall in underlying revenue based on like-for-like sales in its first-half reporting period and said the trading environment across Europe remains challenging.

The Warsaw-listed owner of the Pepco, Poundland and Dealz brands said group revenue was €3.2bn in the six months to March 31, a rise of 11% on a constant currency basis, which reflected the opening of 289 net new stores.