UK fashion and homewares retailer Matalan has issued a full-year profit warning, after warmer weather in September tempered early autumn sales.

The company, which operates 217 stores in the UK and 13 international franchise stores, now expects EBITDA to be between GBP90m (US$143.9m) and GBP95m for the full year, down on its earlier guidance of GBP108-112m. 

The warning came as the retailer reported EBITDA of GBP20.4m during the 14 weeks ended 31 August, up 17.9% on GBP17.3m in the same period of last year. Total revenue, meanwhile, grew 5.3% to GBP283.5m from GBP269.2m in the prior year.

Managing director Jason Hargreaves, who joined the company earlier this year, said: "The business realised an improvement in performance in the second quarter as customers took advantage of our strong summer offer.

"However, the lateness of the summer heat-wave and Indian summer throughout September has tempered the start to autumn trading, the impact of which has now been fully reflected in our revised guidance for the year."

The company will invest in lower prices for customers to continue to provide style, quality and value, Hargreaves added.