Published on 24 - January - 2012
Flying Brands still in sale discussions, as it posts 33% sales declineGardening Direct parent Flying Brands has confirmed that it remains in discussions over the possible sale of some of its businesses, as it reports a slowdown in trading in the last quarter of 2011.
Gardening Direct could be sold off, as Flying Brands remains in talks to sell some of its operations
Overall sales for the period were down 33% to £4.83m, compared with £6.43m in its last financial year. Sales in the group's flower division, which includes Flying Flowers and Flowers Direct, saw a 36% decline in the period, which included the peak Christmas selling season.
The drop to £3.39m compared with £4.47 the previous year was attributed to the company's decision to cut back its marketing expenditure.
Mail order operation Gardening Direct fared slightly better in Q4, with sales up marginally on last year's figures, at +6% to £0.34m. Meanwhile, sales from the group's website gardencentreonline.co.uk remained flat at £0.21m compared with £0.27m the previous year, while Garden Bird Supplies reported a massive 42% drop in sales, impacted, said the firm, by mild weather during the trading period.
On December 20, Flying Brands announced it had been approached by parties interested in acquiring some of its operations, although added that there was, "no certainty that any offer will be forthcoming". Announcing its Q4 performance on January 24, the company confirmed that it is still in discussions with parties over the sale of certain brands, adding that it will make a further announcement in due course.
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