Finnish retailer Stockmann cuts full-year guidance again

HELSINKI, Finland - Finnish fashion and department stores group Stockmann cut its full-year profit outlook for the third time in six months on Tuesday, citing weak sales at its Seppala chain.

Stockmann has been hard hit by customers shifting from relatively upmarket department stores to online shopping, while the weaker Russian rouble and recession in Finland have exacerbated its problems.

The company said it now expects to post an adjusted operating loss for the full year, having said in June that it would suffer a significant fall in 2013 operating profit of 54 million euros ($68 million).

The updated guidance sent Stockmann's shares down 1.2 percent to 8.48 euros by 1449 GMT.

Stockmann added that revenue in September was down 14 percent from a year earlier at 133 million euros.

The company said this month that it will close fashion shops in Russia and seek to sell its mail-order business as part of a strategy review.

1 US dollar = 0.7898 euro