Home Retail Group announced its end of year trading results today, revealing a sales decline of 2.8% for Homebase's final quarter, and an overall sales slide of 5.2% for the retailer's 52 weeks to March 2, 2013.
The year saw the retailer close five stores, bringing its total number down to 336. Net closed space reduced sales by 1.3%, said the retailer. While gross margins climbed by 75 basis points (bps) for the year and 50bps for the final quarter, they fell by 25bps for the half year to March 2.

Homebase's total revenue for the year was £1,431m, down 4.9% like for like, down 5.2% for total sales change. For the year's second half, revenue was £644m, down 3.2% LfL, with total sales change at -4%. In Q4, the total was £191m, reducing LfL by 1.5% with total sales down 2.8%.

In contrast, HRG's Argos chain performed considerably better, with sales up 2.1% LfL for the year, bringing the total to £3,931m. Like for likes climbed an impressive 5.2% for the final quarter, and were up 3.2% for H2.

Home Retail Group's chief executive Terry Duddy said: ""This has been a good outcome to a challenging year with Group benchmark profit before tax now expected to be around £90m, and our net cash position increasing by approximately £200m to around £395m.

"Against a backdrop of subdued consumer spending for the new financial year, we will continue to invest and are focussed on delivery of the transformation plan to reinvent Argos as a digital retail leader and the Homebase proposition."