Shares in footwear retail group Stylo Plc plummeted by more than 20% early today (2 December) after the company said recent trading had been worse than expected.

The company was offering an update on trading for the four weeks following its announcement of a first-half loss of GBP9.7m (US$14.6m) on 31 October.

Stylo drew attention to measures announced at that time to implement its strategic recovery programme.

"The difficult retail trading conditions, currently being experienced by all retailers, re-emphasise the need for these actions," the company said.

It had implemented promotional events across all its stores, including the Barratts and PriceLess chains, with "positive initial results", Stylo said.

"Whilst gross margin will be affected by the promotional discounts, stock levels and costs continue to be managed tightly as the board concentrates on delivering cash into the business," the company added.