The Works has revealed a slight dip in sales after plummeting online trade offset stronger sales across its stores.
Shares in the company fell in early trading on Thursday as the retail chain also highlighted “subdued” confidence among shoppers.
Nevertheless, bosses have said they are “pleased” with progress at the business as it continues to work through its turnaround strategy.
The company reported that total sales declined by 0.3% to £123.8 million for the half-year to November 2, compared with the same period a year earlier.
However, like-for-like sales were up 0.3% for the period.
Sales were dragged by a weak performance online, which represents less than 10% of group sales.
Online sales fell 36% for the half-year, driven by the impact of “operational challenges” amid the transition to a new third-party fulfilment contract.
It said actions have been taken to mitigate the impact but that higher costs and reduced capacity are expected to continue into the festive period.
Elsewhere, like-for-like store sales increased by 4%, as it cheered a boost from its turnaround strategy.
The company also opened two new sites over the half year and is set for five openings by the end of the financial year.
Gavin Peck, chief executive of the business, said: “We are pleased with the progress made in the first half of FY26, having delivered a number of important strategic initiatives, a strong performance in-store and ongoing margin growth.
“Our focus on delivering screen-free activities for the whole family is resonating with customers and, notwithstanding the challenging retail backdrop and ongoing online capacity constraints, we are on track to deliver further strategic and financial progress in the remainder of the financial year and beyond.”
Shares in the company were down 8% on Thursday morning.
