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The Markets
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Retail

Mothercare suspends substantial Russian business

The retail company said trade in Russia accounted for up to a quarter of Mothercare’s retail sales

Mothercare PLC (LSE:MTC) has suspended all business in Russia, which it said would impact up to a quarter of its global sales.

The retail brand suspended the sale and shipment of all products to the country, affecting its 120 stores and a sizeable online presence there, as the presence of Western corporations in Russia becomes increasingly untenable.

The move is expected to hit 20-25% of global sales, Mothercare said, which would reduce group profits by £0.5mln per month, or £6mln if it was in place for a full year.

Shares in Mothercare are down nearly 25% since Putin ordered troops into Ukraine as investors step away from firms with strong Russian ties.

They fell another 24% to 10.05p in early trading on Wednesday before quickly easing back up to 12p.

** Updates shares **

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