Sales at The Warehouse over the last couple of months have reduced to the lower levels achieved the year before, in the wake of the retailer expecting a decrease in the former half profit.

The company stated on Wednesday that it hoped for an adjusted group total gain for the former half of the financial year ending 30th January to be somewhere from $51 million to $54 million as against $57 million for the same duration last year.

The net sales for the couple of months ended 2nd January had fallen by 2.7% as against the same times last year. Same store sales had fallen by 3.8%.

Meanwhile, Warehouse Stationary sales were flat on in 2010 for the 2-month trading duration with same store sales registered gain of 0.7%.

According to Group Chief Executive Ian Morrice, the sales in general were very soft during the key seasonal trading duration.

He said that they had expected the sector to continue to be tough and many promotions geared up during their 2011 financial year. However New Zealand consumers undoubtedly continued to further concentrated than that had been predicted by them for strengthening the household balance sheets.