Sales in the UK arm of baby goods retailer Mothercare plunged almost 9% last year as its losses widened to £87.3m.
The firm said its sales had fallen following reduced consumer confidence after last year’s restructuring.
That led to it closing almost a third of its stores. It is now left with 79 and will develop its online sales.
But boss Mark Newton-Jones said the firm was on a “sounder footing” after the sale of the Early Learning Centre.