19 Mar 2014

Slump for Pumpkin Patch

2:16 pm on 19 March 2014

Pumpkin Patch's first-half net profit slumped to just $106,000, reflecting heavy discounting, major supply chain disruptions and restructuring costs.

The children's clothing retailer's results for the same six months ended January last year was $4.7 million.

Excluding the restructuring costs, the result was still down nearly 80 percent.

Sales were down 16.5 percent and the supply chain disruptions were due to the failure of two core suppliers and to major flooding in a key supply region in China.

Chief executive Di Humphries says the supply chain problems have now been resolved but she can't promise shareholders better results until into the 2015 financial year.

"Even though the performance is extremely disappointing I think we've made some incredibly good steps forward."