Debenhams cuts back on brands
DEBENHAMS is to drop certain brands to focus on big sellers and designer labels.
Chief executive Rob Templeman unveiled the “brand rationalisation” yesterday as the retailer reported half-year profits down 12 per cent to £94.1million.
Total sales were 3 per cent higher at £1.03billion but the like-for-like figure, which excluded new stores, was down 1 per cent. The shares fell 1bp to 35fp.
Own-label brands to go include Casual Club.
The aim is to give shoppers clearer choice and concentrate on successes such as Designers at Debenhams.
Top performers include Julien Macdonald, whose £350 Star dress was a Christmas bestseller, and Jasper Conran menswear.
Templeman said the group outperformed its peers and won market share in men’s, women’s and children’s clothing, but added: “Consumer confidence is low.”
Store refurbishments are being cut, with three revamps planned for the second half against 18 in the first. Net debt was reduced by £53million to £979million.
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