LONDON (Reuters) - Britain's biggest floor coverings retailer Carpetright (L:CATVU) said sales growth accelerated in its key home market over the last quarter, helped by promotions and the introduction of an interest free credit offer.
The group, which issued several profit warnings last year due to tough trading in the Netherlands and weak demand in the UK, said on Tuesday sales at UK stores open over a year increased 7.5 percent in the 13 weeks to Jan. 24, its fiscal third quarter.
That compares to a first half rise of 6.5 percent.
Like-for-like sales in the firm's Rest of Europe division, stores in Ireland, the Netherlands and Belgium, rose 1.7 percent in local currency terms.
Carpetright, which trades from 461 stores in the UK and 137 in the Rest of Europe division, maintained its gross margin guidance for the full 2014-15 year -- a decline of 100-150 basis points in the UK and a rise of about 250 basis points in Rest of Europe.
"Trading remains in line with management's expectations and our view for the year as a whole remains unchanged," said Wilf Walsh, who joined as chief executive in July.
Prior to Tuesday's update analysts were on average forecasting a 2014-15 pretax profit of 10 million pounds ($15 million), according to Reuters data.