British bootmaker Dr Martens has downgraded its guidance after revenue for the three months to December came in lower than expected.
The company blamed slower growth in the US, which is the brand’s largest market, and “significant operational issues” at its Los Angeles distribution centre for the drop in revenue.
While analysts expected revenue for the full financial year, which ends on March 31, to grow by 16 per cent, Dr Martens said on Thursday that it would rise by between 11 and 13 per cent.
And while analysts had expected earnings before interest, taxes, depreciation and amortisation to come in at £286mn, the company said it would now be between £250mn and £260mn.
“Demand for Dr Martens remained resilient through challenging conditions during our peak trading period,” Kenny Wilson, the chief executive, said.
But he added that a bottleneck in Los Angeles and “unseasonably warm weather” had hit growth.
In November, shares in Dr Martens shed nearly a fifth of their value after the company warned that weakening demand, higher investment and a strong dollar would hit its full-year profit.
The company’s shares fell 18 per cent in early trading in London.