Boots sends an upbeat message

BOOTS today reassured investors with a confident message on its annual figures, underpinned by confirmation that profits will be in line with expectations.

The company's year-end is on 30 March and full-year-results will be reported on 30 May. Analysts expect pre-tax profits of about £625 million against £580 million in 2001.

Boots said sales at its 1,400-strong chemists chain were better in the second half than the first, when takings showed a 1% increase. Improvements were seen in all categories, including the core health and beauty sectors. Sales excluding the impact of new space were also ahead of the first half and gross margins have picked up too.

Underlying sales were flat at Boots Healthcare International, which makes Nurofen and Strepsils, because the fourth quarter of last year was particularly strong.

Losses at the overseas stores have been reduced as the company has cut back on its ambitions.