Profits tumble at Ikea
Ikea has seen its UK profits fall by a fifth after it cut prices and invested in improving the in-store experience for shoppers. Sales rose by 6% to £1.2bn in the year to 31 August but pre-tax profits fell by 20% to £19.8m.
'Despite the uncertain retail environment, we remain confident that our expansion plan, investment in ecommerce, investment in other services and our commitment to quality and price will enable us to strengthen our market position,' says the chain.
Ikea says it increased its market share by 0.4% to 6.8% in the year.
The chain's 19th UK store, at Reading, is due to open next year.