According to the results announced by the Warehouse Group, the first quarter sales of the company have slipped.

The Group is of a view that as consumer spending has shown very few signs of pick-up, it has resulted in giving a dent to the profitability of the retailer in the past few months. It is to be mentioned here that the listed retailer also said that sales for the past three months fell by .2% standing at a level of close to $362 million.

The managing director of the company Ian Morrice is of a view that as the retail industry is more driven by the promotions, it is not expecting any signs of a sustainable recovery in consumer spending in the coming times as well.

However, the MD also said that it is expecting the overall economy to improve over the medium term but mentioned that trading will be really tough during that period as well.

It may be noted here that the sales at the main Red Shed stores were down by over .6% and were up 2.9% as far as the Warehouse Stationery is concerned. For the record, the share price of Warehouse has fallen by 9% in this year.