Interim Results

RNS Number:7113U
Strategic Retail PLC
25 November 2005

                              STRATEGIC RETAIL Plc
                                (the "Company")



                              INTERIM REPORT 2005



Chairman's statement



On 30 August 2005 the Company acquired 9 'Texstyle World Home' stores.  These
stores are all based in Scotland, with six situated around Glasgow and three in
the far North. The stores have been successfully integrated into the Group's
management structure based in Cheshire.



The Group has opened a new Fads (Trading) Limited store at Blairgowrie and
successfully re-sited to better placed stores at Rutherglen, Bradford and
Arbroath.   The Group now trades out of 80 stores.



Results for the 26 weeks ended 27 August 2005

The company produced a loss before taxation for the period, of #47,000 on a
turnover of #9,274,000.  This reflects the poor state of retail on the high
street and DIY retailing in particular.  The fall in consumer spending has lead
to a fall in like for like sales, particularly acute with regard to
wall-coverings, and corresponding falls in margin and net profit.



Outlook

The acquisition of the Texstyle World business is a significant step for the
Company and has increased our retail space by 130,000 square feet.  As retail
conditions worsened throughout the period under review, we have concentrated on
maintaining a strong balance sheet and cash position.  Whilst we have seen a
small improvement in trading since the period end, we believe that the way
forward continues to be through selective acquisitions.



I W Currie

Chairman

25 November 2005





Profit and Loss Account



                                                             (Unaudited)       (Unaudited)           Audited
                                                            26 wks ended      26 wks ended      52 wks ended
                                                           27th Aug 2005     28th Aug 2004     26th Feb 2005
                                                                    #000              #000              #000
                                                NOTE
Turnover                                                           9,274             7,050            16,201

Operating (Loss)/Profit                                             (47)                65               118

Interest Receivable                                                    -                 2                10

(Loss)/Profit on Ordinary
Activities before Taxation                                          (47)                67               128

Taxation                                                               -                 -                51

Retained (Deficit)/ Profit for the Period                           (47)                67               179
(Loss)/Earnings per Ordinary Share               3               (0.30p)             0.50p             1.26p





The Company has no other recognised gains and losses other than as shown above
and therefore no separate statement of total recognised gains or losses has been
presented.











Consolidated Cash flow Statement for the 26 week period ended 27 August 2005


                                                           (Unaudited)      (Unaudited)          Audited
                                                        26 weeks ended   26 weeks ended   52 weeks ended
                                                            27.08.2005       28.02.2004       26.02.2005
                                                                  #000             #000             #000

Cash flow from operating activities                               (76)            (159)            (340)

Net cash flow for Returns on Investments and                         -                -               10
Servicing finance

Capital Expenditure                                              (152)             (78)            (156)

Acquisitions and disposals
Purchase of subsidiary                                               -                -            (654)
Net cash acquired with subsidiary                                    -                -              118

Net cash outflow for acquisitions and disposals                      -                -            (536)

Cash Outflow before financing                                    (228)            (237)          (1,022)

Financing
Issue of ordinary share capital                                      -                -            1,138
Share issue expenses                                                 -                -             (32)

Net cash inflow from financing                                       -                -            1,106

Increase/(decrease) in cash for the period                       (228)            (237)               84

                        Reconciliation of Operating Profit to net cash Outflow from operating activities

Operating (loss)/profit                                           (47)               67              118
Depreciation                                                       133               60              138
Amortisation of goodwill                                             -                -                8
Loss on disposal                                                     -                -               25
Decrease/(increase) in stock                                        37            (160)            (454)
Decrease in debtors                                                166               21               82
Decrease in creditors                                            (365)            (147)            (257)

Cash flow from Operating activities                               (76)            (159)            (340)

Analysis of net funds
                                                         at 26.02.2005        cash flow    at 27.08.2005

Cash in hand and at bank                                         1,183            (228)              955







Summarised Balance Sheet


                                                                 At 27.08.05       At 28.08.04       At 26.02.05
                                                                 (Unaudited)       (Unaudited)        (Audited)
                                                                    #000              #000              #000
FIXED ASSETS
Intangible assets                                                    368                 -               368
Tangible assets                                                      628               467               610
                                                                     996               467               978

CURRENT ASSETS
Stocks                                                             3,258             2,401             3,295
Debtors                                                              713               500               879
Cash at bank and in hand                                             955               862             1,183
                                                                   4,926             3,763             5,357

CREDITORS - amounts falling due within 1 year                    (2,981)           (2,459)           (3,346)
Net current assets                                                 1,945             1,305             2,011

NET ASSETS                                                         2,941             1,771             2,989

CAPITAL & RESERVES
Called up share capital                                               80                65                80
Share premium account                                              2,729             1,638             2,729
Profit & loss account                                                132                68               180
                                                                   2,941             1,771             2,989





NOTES TO THE FINANCIAL INFORMATION



1.  The interim results are unaudited and do not comprise full accounts within
the meaning of Section 240 of the Companies Act 1985. The results for the year
ended 26th February 2005 are in abbreviated form and have been extracted from
the published accounts filed with the Registrar of Companies. These were audited
and reported upon without qualification by Baker Tilly and did not contain a
statement under Section 237(2) or (3) of the Companies Act 1985.



2.  No interim dividend is being proposed or paid.



3.  The earnings per share has been calculated on the 15,928,222 shares in
issue.



4.  The accounts have been despatched to shareholders today, 25 November, 2005.
Copies are available upon request, free of charge, at the Company's registered
office: 3 Ralli Courts, West Riverside, Manchester, M3 5FT.



For further information, please contact:


Ian Currie, Strategic Retail plc                       Tel: [phone]
David Youngman, WH Ireland Limited                     Tel: [phone]




                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

IR ZELFLEFBEFBD