| | Debenhams plc, the leading international, multi-channel brand, today announced half year results for the 26 weeks to 2 March 2013.
Financial headlines
· Gross transaction value up 3.5%
o UK up 3.9%
o International up 1.6%
· Group like-for-like sales up 3.1%
· Group gross margin down 20bps
· Profit before tax down 5.4% at £120.3m
· Earnings per share up 2.7% to 7.6p
· Interim dividend of 1.0p per share
· Long-term share buyback programme ongoing
Operational headlines
- Further progress against the four pillars of our strategy to build a leading international, multi-channel brand, supported by disciplined investment in key areas
· Market share gains achieved in clothing and non-clothing product categories
· Strong multi-channel growth with online sales up 46%, now 12.7% of sales
· Continued investment in store modernisations delivering good returns, transformation of Oxford Street into international flagship store on plan
· First Christmas brand advertising campaign for six years achieved our highest ever levels of brand awareness
· New Designers at Debenhams announced: tailor Patrick Grant for menswear and milliner Stephen Jones for women's accessories
Michael Sharp, Chief Executive of Debenhams, said: "We made progress during the first half although snow in late January meant we did not achieve the profit outcome we had expected. Like-for-like sales grew for the fourth consecutive half and we saw positive market share momentum in key categories. Our multi-channel activities continued to grow with online sales increasing three times faster than the market. The transformation of Oxford Street into our international flagship store is on time and on budget.
"We expect to make further progress in the second half despite consumer sentiment remaining weak and challenging market conditions. We are committed to the opportunities afforded to us by the four pillars of our strategy to build a leading international, multi-channel brand. We are sure that this strategy is right for Debenhams and of the benefits it brings to the business and its shareholders." |