Thorntons' second profit alert blames the weather

Thorntons' shares melted by 10% today as the chocolatier blamed hot weather over Easter for a slump in sales. That was the retailer's second profit warning this year, the first also being partly blamed on a problematic climate.

In January, Thorntons said "adverse weather conditions over the Christmas trading period" had hit sales.

Today it said "hot weather conditions over the Easter trading period" had caused a similar problem.

The struggling confectioner thinks profits for the year will be between £3 million and £4.5 million. It previously hoped to make £6 million.

The company, which trades from 369 owned stores and 226 franchise outlets, said sales at owned stores open more than a year fell 12.6%. They slumped 22.8% in Easter week compared with the same week last year as hot weather put off shoppers.

Analysts were a little sceptical about this reasoning. Clive Black, at Shore Capital in Liverpool, said the numbers were dreadful. "Thorntons issued a particularly poor trading update for the third quarter as Britain seemingly avoided chocolate because of a 'heatwave'," he said. "Now, it was very pleasant this Easter on the Côte de Mersey but we're not so sure that the British avoided higher-end chocolate ovals because of rocketing temperatures as opposed to households counting their pennies in tough times - and chocolate has become much more expensive - and the questionable health credentials of confectionery taking further hold on parents."

The Thorntons update suggests more bad news from the retail sector is likely in the next few weeks. Chief executive Jonathan Hart, in the midst of a strategic review, said: "The past quarter has been extremely challenging, particularly in our own stores and for franchisees, and we foresee the prospect of this weakness in high street footfall and spending continuing."

The shares fell 8.22p to 72.03p, leaving the company valued at £49 million.