Debenhams margins hit by spring showers
Department store chain Debenhams has been boosted by big events like the diamond jubilee and the Easter bank holiday, according to a trading update on Thursday, although the firm cautioned that margins have been hit by recent bad weather.
Department store chain Debenhams has been boosted by big events like the diamond jubilee and the Easter bank holiday, according to a trading update on Thursday, although the firm cautioned that margins have been hit by recent bad weather.
Like-for-like sales grew 3% between March 4th and June 23rd - this was an acceleration over the first six months of the group's financial year which begins in September.
Debenham's Chief Executive, Michael Sharp, said he was "particularly pleased" with the like-for-like sales trends.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The difficulty for the company, though, has been the weather. With Britain experiencing Noah's-flood-type conditions, the punters haven't been quite as keen on buying summery dresses.
Health and beauty sales have partly offset the decline in fashion but the margin on those type of products is not as great as clothing. Debenhams therefore says its gross margin for the full year will be 30 basis points below 2010/11.
This probably explains why Debenham's shares were down 1.6% by 10:31.
BS
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
‘Inheritance tax insurance’ enquiries are soaring – but is it worth it?
Premiums for whole of life insurance can run to £5,000 a month to cover a £300,000 inheritance tax bill, with policies costing more the older you take them out.
-
MPs warn over Lifetime ISAs which could leave savers out of pocket
The Treasury Committee has highlighted confusion around the Lifetime ISA withdrawal charge, which risks consumers losing “a significant part of their savings”