HMV issues third profits warning

Troubled music and book retailer HMV has issued its third profits warning this year, but said it had gained an extension from its bankers for tests on loan conditions.

It said it expected full-year pre-tax profits to be around £30m, compared with an estimate of £38m one month ago.

However, it said lending tests would kick in on 2 July rather than 30 April.

Banking facilities remained fully available and lenders continued to be supportive, it added.