Adairs shares recover after early morning dip
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More news: Shares in Adairs have bounced back after plunging more than 9% in early morning trading on a weak update. Shares in the bedding and home furniture retailer have all but recovered since the group's AGM kicked off at 11am AEDT, trading 0.3% lower than yesterday's close and fetching $1.465.
Adairs shares plunge on poor sales figures
The news: Adairs' share price tanked in early trading on Friday after the bedding and furniture retailer posted weaker sales amid tough market conditions.
The numbers: Shares fell more than 9% soon after the bell but had recovered slightly by 10:30am AEDT to $1.405, a 4.1% discount to yesterday's close. Adairs posted a 9% drop in group sales for the first 21 weeks of FY24 compared to the same period last year. By business, Adairs sales were down 9.9%, Focus on Furniture sales fell 8.7% and Mocka performed 2.4% worse than this time last year.
The context: Adairs, which has its AGM today, linked the sales slump to tougher market conditions driven by high interest rates and cost-of-living pressures and noted a significant decline in traffic at its stores. The falls in sales were lower than the decline in traffic, the company said.
The sources: ASX Trading Update, CEO and Chair's AGM address
