Shoe Zone warns high shipping costs to hit profit

Shoe Zone has announced that the company now expects adjusted profit before tax for the current financial year to be not less than 10 million pounds.

The company said that further to its AGM statement released on March 12, 2024, Shoe Zone has continued to experience cost pressures associated with container prices due to a reduction in the supply of shipping vessels and the continuation of a reroute away from the Suez Canal. As a result, container prices have risen significantly over the last six months.

Alongside an increase in shipping costs, the company has also experienced weaker than expected spring summer sales from April to June, due to unseasonal weather conditions.