The Reject Shop cuts FY profit forecast

Company News

The Reject Shop Limited (ASX:TRS) has blamed unseasonably warm weather for lower sales and an expected fall in its annual net profit.  

The discount retailer now expects to report a net profit of between $14.5 million and $15.5 million in the 2014 financial year. 

The forecast is down from to earlier guidance of between $17 million and $18 million at which time the company said it was cautiously optimistic on achieving its target.  

In addition to attributing warmer weather for the anticipated decline The Reject Shop says sales have been impacted by a drop-off in consumer confidence. 

The news comes after The Reject Shop affirmed its annual guidance in March while at the same time announcing its Managing Director Chris Bryce will depart at the end of the financial year. 

The Reject Shop has today advised it expects to make an announcement regarding the appointment of a new chief in the near future. 

The Reject Shop reported a net profit of $16.9 million in the first half of the 2014 financial year.  

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