British retailer Kesa says returns to profit

LONDON: British retailer Kesa Electricals on Wednesday said it had returned to profit in 2009-10 but warned of a "challenging" future.

It made a net profit of 40.7 million pounds (49.2 million euros, $60.4 million) in the 12 months to April 30 compared with the equivalent period in 2008-09 when losses struck 111.4 million pounds.

Kesa, whose businesses include electrical retail chains Comet in Britain and Darty in France, had posted heavy losses a year earlier largely owing to exceptional charges incurred by its Spanish operations. It was also hit by the economic downturn.

Kesa added on Wednesday that group revenues gained 3.4 per cent to 5.124 billion pounds in 2009-10.

"While we have started the year in line with our expectations, we anticipate our major markets remaining challenging for the rest of the current financial year," Kesa chief executive Thierry Falque-Pierrotin said in the earnings statement.a