Clothing retailer Lindex has reported higher full-year profit but said fourth-quarter profit fell short of expectations.

Yearly after-tax profit was SEK504m (US$68.83m) compared to SEK327m the year before thanks to improving operating margins. Full-year sales totalled SEK5.21bn.

In the fourth quarter, after-tax profits were SEK104m compared to SEK124m previously. Lindex blamed a late start to the autumn season.

The company warned its German business will not achieve its aim of breaking even by the first quarter of next year.