Mothercare is stepping up its international expansion plans after raising its profit forecast for the year following a bumper Christmas. Ben Gordon, the chief executive, said yesterday that there was no country that Mothercare was ruling out as it looked to increase sales from its overseas operations.

The retailer has 483 franchise stores in 48 countries outside the UK, including Kazakhstan, New Zealand and Saudi Arabia. It goes live in China over the next three months and Mr Gordon said that Mothercare could double its opening programme in both Russia and India, where it may now open more than 100 sites.

“In India there is an 80 per cent awareness of Mothercare among the middle classes,” Mr Gordon said. “We have an absolute gem of a business here for international expansion.”

A trading update indicated that like-for-like sales had risen by 3.4 per cent in the 13 weeks to January 11 in Mothercare stores despite the doom and gloom on the high street. Including the Early Learning Centre business bought last summer, total sales were up by 61 per cent. Bestsellers included toy cash registers, own-brand push chairs and baby clothes.

Mothercare said that it expected group pre-tax profits for the 12 months to April at the top end of the £30million to £34million range forecast by analysts. Shares in the retailer rose by 4 per cent, or 14p, to 350p. They were trading at 316p last month.

Mr Gordon said that much of the growth had come from greater investment in Mothercare Direct, the home catalogue, order-in-store and internet business. The website was relaunched last year using Amazon technology. Like-for-like sales at Mothercare Direct were up 11.9 per cent.

Mr Gordon said: “If you look at Oxford Street, there's people carrying 28 bags trying to get home. If you go forward ten years, I think hardly anyone will be carrying anything. All they will do is go into a store, push a red button and wait for it to be delivered.”

He added that Early Learning Centre “inserts” were likely to be rolled out across Mothercare's 75 larger out-of-town stores after a successful trial.

Matthew McEachran, a Kaupthing retail analyst, said: “The robust third-quarter trading confirmed the group is making good progress on all counts. We are upgrading forecasts and see current share price weakness as a good opportunity to buy.”

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