Homebase suffered a 6.2% drop in second-quarter sales, blaming recent poor weather.
The DIY and homewares retailer saw turnover down to £391m, with like-for-like sales 8% lower.
However, Argos, also part of Home Retail, enjoyed a 4.8% rise in sales to £942m during the 13 weeks to June 2. Like for likes were up 1.8%.
Chief executive Terry Duddy commented: “For the first half overall, further progress on gross margins and continued cost control is expected to see profits at Homebase ahead of last year and strong growth at Argos.”