Boots is to pull out of its remaining European retail operation and shut its Wellbeing healthcare offer to focus on its high street chain and the Boots Healthcare International brands.

The company said full-year profit would be at the lower end of City expectations and that initiatives to turnaround the business would cost £55m of which £30m relates to write-offs.

Some 700 jobs will go at Wellbeing with 12 outlets offering health and beauty services closed at a cost of £34m including £16m in asset write-offs.

The company is to close its loss-making European operations and streamline the supply chain for its business in the Far East at a cost of £9m.

Fourth quarter like-for-like sales at Boots the Chemist rose 3.6% but the late Easter will hit growth in the quarter by 0.4%.

It expects second half like-for-like sales to be up 5.9% and BHI sales growth of about 13%.

Full-year results are scheduled for June 5.