Body Shop reports strong Christmas sales

Ethical toiletries firm Body Shop International today said its stores recorded a "strong performance" in December, with products…

Ethical toiletries firm Body Shop International today said its stores recorded a "strong performance" in December, with products such as body butter and white musk and hemp ranges selling well.

Body Shop said in the five weeks to January 5th, like-for-like sales grew four per cent, while in the 10 weeks to the same date, sales rose one per cent.

The rise marks a reversal in fortunes from the previous year, when a decision to scrap old favourites in favour of new lines hurt sales.

Chief executive Mr Patrick Gournay said today: "We were pleased to see the UK return to positive comparable store sales during the Christmas period."

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He added the group's seasonal products sold well, particularly body care and women's fragrance. Margins also improved, while Body Shop's winter sale had a good start.

Finance director Mr Alastair Murray said good sellers had been the group's food-inspired range, white musk, its vitamin E range, hemp products and body butter.

The body butter range had been reformulated, he said, adding: "Even Jennifer Lopez uses it, so I'm told."

Classic products as well as new product lines had been popular, the group said.

However, when including Body Shop's international stores, overall like-for-like sales for the 10-week period were flat, hit by a seven per cent sales drop in the US.

Mr Gournay also said Body Shop remained in takeover talks.

In October, the group said it was in talks with a number of interested parties. Speculation over the identity of the potential bidders has included French venture capital firm Paribas Affaires Industrielles and US firm Texas Pacific.

That followed the termination, last summer, of preliminary talks for Body Shop to be bought by Mexico's Grupo Omnilife.

Founder Ms Anita Roddick and her husband Gordon together own about a quarter of the company.

Body Shop has nearly 2,000 stores, of which 326 are in Britain and Ireland.