Partly Cloudy

Partly Cloudy

max temp: 24°C

min temp: 16°C

ESTD 1874 Search

Debenhams posts rise in sales after Black Friday and Christmas trading boost

16:00 12 January 2016

Debenhams has shrugged off the unusually mild winter weather to post a rise in sales thanks to bumper Black Friday and Christmas trading.

Debenhams has shrugged off the unusually mild winter weather to post a rise in sales thanks to bumper Black Friday and Christmas trading.

Department store chain Debenhams shrugged off the unusually mild winter weather to post a rise in sales thanks to bumper Black Friday and Christmas trading.

The group reported a 1.9% increase in like-for-like sales for the 19 weeks to January 9, with growth of 1.8% in the final seven weeks.

It hailed a successful Black Friday and record performance in the Christmas week, adding that it continued to rein-in promotions despite widespread discounting on the high street in December after unseasonably warm weather, with full-price sales up 5%.

Debenhams, which has around 160 UK stores out of more than 250 worldwide, said it cut back on certain clothing lines such as winter coats to overcome the impact of the warmest December in over 100 years.

Rivals such as Next and Marks & Spencer were hit as shoppers shunned heavy coats in favour of lighter-weight items in November and December.

Shares in Debenhams raced more than 14% higher on the better-than-expected festive performance.

Outgoing chief executive Michael Sharp, who announced plans last October to leave in 2016, said the sales rise shows turnaround efforts are continuing to pay off.

He said: “This performance is evidence that our strategy is working.”

The update comes after Debenhams posted its first rise in annual profits for four years in October, when underlying pre-tax profits rose 2.9% to £113.5 million.

Retail experts praised the group’s Christmas trading.

Keith Bowman, equity analyst at Hargreaves Lansdown Stockbrokers, said: “The update offers firm reassurance.

“A planned reduction in outerwear clothing stocks has clearly played its part, while management’s push to increase online sales continues to progress. A focus on non-clothing categories is also reaping rewards, with new store opening further contributing.”

Debenhams, which also trades as Magasin du Nord in Denmark, said online sales lifted 12.1% over the 19 weeks and 15.4% in the key seven-week period.

On a constant currency basis, like-for-like sales rose 3.5% over the 19 weeks.

Search hundreds of local jobs at Jobs24

0 comments

Welcome , please leave your message below.

Optional - JPG files only
Optional - MP3 files only
Optional - 3GP, AVI, MOV, MPG or WMV files
Comments

Please log in to leave a comment and share your views with other East Anglian Daily Times visitors.

We enable people to post comments with the aim of encouraging open debate.

Only people who register and sign up to our terms and conditions can post comments. These terms and conditions explain our house rules and legal guidelines.

Comments are not edited by East Anglian Daily Times staff prior to publication but may be automatically filtered.

If you have a complaint about a comment please contact us by clicking on the Report This Comment button next to the comment.

Not a member yet?

Register to create your own unique East Anglian Daily Times account for free.

Signing up is free, quick and easy and offers you the chance to add comments, personalise the site with local information picked just for you, and more.

Sign up now

Ethan Miller is the winner of a furniture  design competition, where his design has been made into a prototype by West Suffolk College.
Ethan Miller reiving his prize from Paul Glasswell.

Students design wins Glasswells furniture design competition

And indicative perspective of what a new retirement homes on the 30 Lower Brook Street site, might look like.
Development plans are going out for consultation.
The site is currently Archant's newspaper offices.

A public exhibition will give local residents Ipswich residents the opportunity to view and comment on McCarthy and Stone’s preliminary proposals to redevelop land between Lower Brook Street and Turret Lane.

Part of the new facilities at Red Lodge Karting.

A west Suffolk outdoor karting company has created five new jobs with the opening of a new corporate hospitality venue.

Adnams chairman Jonathan Adnams, left, and head distiller John McCarthy in a field of rye.

Southwold-based brewer and distiller Adnams is adding two new spirits to its range.

Jim Fanshawe  of Suffolk Chamber International.

Suffolk Chamber International, part of Suffolk Chamber of Commerce, has launched a range of revamped courses to help the county’s export drive.

HOT JOBS

Show Job Lists

Most read

Most commented

Topic pages

Streetlife

Newsletter Sign Up

Sign up to the following newsletters:

MyDate24 MyPhotos24