Debenhams reports better market share

British retailer Debenhams today reported better market share with an improved 2

British retailer Debenhams today reported better market share with an improved 2.1 per cent sales since the start of September.

The performance at the start of its new financial year contrasts with the 5 per cent

sales drop reported for the previous 12 months, when declining margins also contributed to an 18.5 per cent fall in operating profits to £194. million (€278 million).

The company's shares rallied 6 per cent after the announcement.

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As well as a review of its ranges, Debenhams has accelerated its store refurbishments and sought to improve its supply chain.

The retail chain, which has 135 department stores in the United Kingdom and Ireland, only returned to the stock market in May of last year after a lucrative flotation for its private equity owners and managers.

However, its shares have struggled as analysts questioned the company's strategy, particularly its reliance on discounting and sale days.

PA