Retailer Debenhams has reported a slump in full-year profits, laying bare the challenge facing new boss Sergio Bucher.
The department store chain said pre-tax profits fell 10.4 per cent to £101.7 million (€113.8m) in the 52 weeks to August 27th. On a 53-week basis, profits stood at £105.8 million.
Like-for-like sales edged up 0.7 per cent while total sales rose 1.3 per cent to £2.9 billion.
The retailer said Mr Bucher, a former Amazon fashion chief who took up his position 10 days ago, will update the market on his longer term plans for the next phase of Debenhams' development in the spring.
Chairman Sir Ian Cheshire said: “We have delivered profits in line with market expectations, reflecting a strong performance over peak followed by a tougher second half trading environment.
“Our strategy to rebalance the business towards non-clothing has supported our performance, with strong progress in beauty, gifting and food.”
In June, Debenhams warned that demand for clothes had been weak amid “uncertain trading conditions”.
– PA
