Despite a 3.7% growth in sales across all of its outlets, the celebration retailer reported that pre-tax profits dropped 43% to £14 million in the six months ending at the end of July.
The chain stated that it accounted for 28% of overall revenues.
Card Factory also emphasized the financial strain caused by growing international shipping and packing expenses.
The business stated that, in spite of the difficulties, it was still on course to reach its full-year profit targets.
According to the findings statement, that would benefit from ongoing efforts to mitigate the effects of rising expenses.
However, shares fell as much as 21%.
The vital Christmas shopping season will be very important, since widespread consumer caution is still present in the larger retail sector.
The decline in demand in June and July was attributed to a generally unsatisfactory summer for sun worshippers.
So-called big ticket products, such as home furnishings, have led the decline as household budgets remain restrained by increased energy, rental and mortgage prices.
Employers are concerned about future costs as a result of the new Labour government’s workers’ rights bill, which is scheduled to be unveiled next month.
