HOW DID THE MARKET REACT TO DEBENHAMS’ RESULTS?
KATHARINE WYNNE INVESTEC
We believe the combination of positive margin trends, evidence of improving full price sales despite a highly promotional stance, and Debenhams’ brand mix – which allows customers to trade up and trade down within the range – should support a higher valuation.
KEITH BOWMAN HARGREAVES LANSDOWN
Debenhams has climbed a very steep hill, with management deserving considerable credit. A difficult balance between addressing group financials and investing in the future is being achieved, with management being rewarded with a near trebling in the share price over the last year.
NICK BUBB PALI INTERNATIONAL
Debenhams’ own brokers talked about making a strong start to the year, but I wouldn’t call its recent 0.6 per cent sales growth strong, compared to John Lewis for example. But their bias towards clothing isn’t really helping them whereas John Lewis has more of a bias towards household goods.