Children’s retailer Mothercare has said that performance in the UK saw an improvement for the final quarter of its financial year, although its international division continues to be hit by “ongoing economic and currency headwinds”.

The group, which is mid-way through a turnaround plan, saw UK like-for-like sales rise 2.1% during the quarter, with support from online sales, which were up 5.6% and now make up about 35% of total UK sales.

However, international retail sales were down 9.7%, with currency further impacting retail sales in actual currency which were down 10.8%. In the Middle East consumer sentiment was impacted by the sustained lower oil price, resulting in a significant decline in constant currency sales. In Asia, China in particular, was affected by weakening consumer confidence. Meanwhile, Europe and Latin America were impacted by adverse currency moves.

Mark Newton-Jones, chief executive officer of Mothercare plc, said: "Overall Group underlying profit for FY2016 is within the range of current market expectations. The UK is responding well to our strategy with continued sales growth and improved margins. International continues to be impacted by adverse currency and weakening consumer confidence in some key markets as economic headwinds persist."

"In the UK we have delivered our eighth consecutive quarter of positive like-for-like sales growth with a full year of improved margins. Almost 40% of space is now in the new and much improved format, which along with a revamped online offer, improved product and service are being well received by our customers."

"International continues to be adversely affected by the sustained economic and currency headwinds. Whilst all four regions are softer, the Middle East and China in particular have been impacted by weaker consumer confidence. Along with our partners, we continue to see opportunity to grow space and are now translating key learnings from modernising the UK into our international markets."

"In the year ahead, we expect to make further progress in the UK. However, our international markets are likely to remain challenging with the current trends in space, sales and currency continuing into the new financial year. Nevertheless we remain firmly focussed on our strategy to build our business both in the UK and internationally and our vision remains clear - to be the leading global retailer for parents and young children."