Retailer Warns of Impact on Consumer Confidence

  • DFS shares drop by nearly 4% despite 17% increase in like-for-like sales
  • Retailer warns about Brexit uncertainty impact on consumer confidence
  • Underlying profit before tax expected to be slightly above £50m for the year ending 30 June 2019
  • DFS appoints Mike Schmidt as new chief financial officer and executive director

Furniture retailer DFS experienced a nearly 4% drop in share prices despite reporting a 17% increase in like-for-like sales for the year ending 30 June 2019. The company acknowledged the uncertain political and economic climate, which may further affect consumer confidence levels. DFS anticipates delivering underlying profit before tax of around £50m for the period, up from £38.3m in the previous fiscal year. The retailer also announced the appointment of Mike Schmidt as its new chief financial officer and executive director, effective immediately.

Factuality Level: 8
Factuality Justification: The article provides accurate information about DFS’s financial performance, the appointment of Mike Schmidt as the new CFO, and his previous work experience. It also mentions the challenges faced by the retailer due to the volatile political and economic climate.
Noise Level: 4
Noise Justification: The article provides relevant information about DFS’s financial performance and the appointment of a new CFO, but it could benefit from more analysis or context on the political and economic factors affecting the company and industry.
Financial Relevance: Yes
Financial Markets Impacted: DFS shares dropped by nearly 4% in early trading due to the company’s warning about the impact of volatile political and economic conditions on consumer confidence.
Financial Rating Justification: The article discusses DFS’s financial performance, its expectations for profit, and the impact of political and economic factors on consumer confidence, which are all related to financial topics.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the text

Reported publicly: www.retailsector.co.uk