THE RETAIL BULLETIN - The home of retail news
Lest we forget
HOME
RETAIL NEWS
RETAIL EVENTS
Fashion
Department Stores
Shopping Centres & Retail Parks
Home & DIY
Electricals
Health & Beauty
General Merchandise
Entertainment
Sports & Leisure
Retail Solutions
Food & Drink
Interviews
RETAIL INSIGHTS
RETAIL SOLUTIONS
ABOUT US
CONTACT US
SUBSCRIBE FOR FREE
Debenhams reports weak festive sales

Debenhams saw its UK like-for-like sales fall by 2.6% over the Christmas trading period as it battled against a “volatile and highly competitive” market.

DEPARTMENT STORES

Debenhams reports weak festive sales

Debenhams saw its UK like-for-like sales fall by 2.6% over the Christmas trading period as it battled against a “volatile and highly competitive” market.

In the 17 weeks to 30 December, its group transaction value dropped by 0.8% while group like-for-likes declined by 1.8% in constant currency or by 1.3% on a reported basis.

As result, Debenhams has now said that it expects full year pre-tax profit to be between £55 million and £65 million compared to analysts’ expectations of £83 million.

The retailer said the early weeks of the period were disappointing as the market remained volatile and competitive but following the introduction of tactical promotions, the performance in the final six weeks improved with like-for-like sales up 1.2% in constant currency.

However, the first week of the post-Christmas sale was below expectations despite further markdown investment, particularly in the seasonal gift category.

Sergio Bucher, chief executive of Debenhams, said: "The market has been challenging and particularly promotional in some of our key seasonal categories and we have responded in order to remain competitive for our customers, which has impacted our profit performance.

“Nevertheless, we are seeing positive early signs from the changes we have made as part of our Debenhams Redesigned strategy. The market dynamics we have seen have reinforced our view that we need to move even faster to implement the cultural and organisational changes needed to ensure Debenhams is in the best possible shape for today's fast-changing retail environment.”

Email this article to a friend

You need to be logged in to use this feature.

Please log in here

Subscribe For Retail News

RETAIL EVENTS

Omnichannel Futures Conference 2019
Omnichannel Futures Conference 2019
6 February 2019
Cavendish Conference Centre, London WG1 9DT
A truly omnichannel offering requires an understanding of customer behaviour across all shopping channels and how this should impact your overall business strategy
Customer Engagement Conference 2019
Customer Engagement Conference 2019
5 June 2019
Cavendish Conference Centre, London W1
The 10th Annual Retail Customer Engagement Summit
AI in Retail Conference 2019
AI in Retail Conference 2019
18 September 2019
Cavendish Conference Center, 22 Duchess Mews, London W1G 9DT
Retail marketing is changing pace rapidly by making communication across all platforms personalised, relevant, efficient, and helpful. AI not only helps shoppers find a perfect product but also pre-empts the shopping behaviour and speeds up payment.
The HR Summit 2019
The HR Summit 2019
Tuesday 8 October 2019
The Cavendish Conference Centre, London W1
The 11th HR Summit 2019, The Cavendish Conference Centre, London W1, 8 October 2019
Payment Roundtable 2019
Payment Roundtable 2019
6 February 2019
The Cavendish Conference Centre, 22 Duchess Mews, London W1G 9DT
The Retail Bulletin Payment Roundtable will raise debate and discussion centred on but not exclusive to improving the in-store payment process