16th Jan 2007 07:01
Debenhams plc16 January 2007 16 January 2007 Debenhams plc Trading Update Debenhams plc, the leading department stores group, today releases a tradingupdate for the 19 weeks ended 13th January 2007. Total cumulative sales for the company are up by 6.3% compared with thecomparable period last year, with like-for-like sales in the UK retail businessdown 4.0% for the same period. The group's sales mix in the first half has been affected by slower thanexpected clothing sales, but more importantly as a consequence of the impact ofthe integration of the Roche stores and their reliance on lower gross marginconcession sales. Combined these will have some impact on gross margin at thehalf year. However, the Roche integration is ahead of schedule; this combined with higherintake margin means that at this stage we still expect to see further progresson gross margin for the full year. Rob Templeman, Chief Executive, said: "Debenhams' sales performance has improved since we reported figures for theperiod to 10 December 2006 but the market remains challenging and we arecautious about the out-turn for the rest of this financial year." Enquiries: Media Gainsborough CommunicationsAndy Cornelius 020 7190 1703Duncan Murray 020 7190 1704 Analysts Debenhams plcRob Templeman, Chief ExecutiveChris Woodhouse, Finance Director 020 7408 3302 Statements made in this announcement that look forward in time or that expressmanagement's beliefs, expectations or estimates regarding future occurrences andprospects are "forward-looking statements" within the meaning of the UnitedStates federal securities laws. These forward-looking statements reflectDebenhams' current expectations concerning future events and actual results maydiffer materially from current expectations or historical results. Any suchforward-looking statements are subject to various risks and uncertainties,including: Debenhams' ability to accurately predict customer preferences anddemands; the effectiveness of Debenhams' brand awareness and marketingprogrammes; the occurrence of weak sales during peak selling seasons or extremeor unseasonal weather conditions; competitive factors in the highly competitiveretail industry; Debenhams' ability to successfully implement its new storerollout and department store refurbishment/modernization strategy; Debenhams'ability to maintain its relationships with certain designers and its significantconcession partner; and currency fluctuations and currency risk. * * * Additional risk factors that you may want to consider are: Debenhams' abilityto retain key management and personnel; disruptions or other adverse eventsaffecting Debenhams' relationship with its major suppliers or its store cardprovider; factors outside Debenhams' control, such as changes in the financialor equity markets, adverse economic conditions or a downturn in the retailindustry, or damage or interruptions due to operational disruption, naturaldisaster, war or terrorist activity; and work stoppages; slowdowns or strikes. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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