French Connection Shares Spike On Sales Boost
Fashion group French Connection has seen a 11% rise in like-for-like retail sales, sending its shares to their highest peak for almost three years.
The sales boost comes after a warm reception to its new product line-up, with shares trading above its August 2011 level.
The company has been trying to turn around its business strategy after successive years of weak sales in the UK home market.
French Connection reported a 4.5% drop in UK and Europe like-for-like sales in the first half of last year, followed by a 1.4% jump in the second half.
It said comparable sales in the 11 weeks to April 12 continued the positive trend of the second half of last year.
Shares in the London-based company were up 11.9% in afternoon trades on Monday.
Last year, it announced plans to reduce inventory levels amid a product redesign.
It also boosted its buying team autonomy, along with a review of pricing structures.
French Connection has struggled amid the rise of internet fashion groups such as Asos and Boohoo.
The online retailers have been boosted by not having the burden of expensive high street locations.