Debenhams Group has upgraded its profit expectations for the second time in nine months after a stronger-than-expected turnaround at PrettyLittleThing and continued momentum across its marketplace business.
The online retail group, formerly known as Boohoo, said trading remained positive throughout June and July, with its Debenhams marketplace benefiting from increased demand during the recent spell of hot weather.
The group reported continued year-on-year growth in gross merchandise value (GMV), alongside higher margins and lower customer returns, reflecting improved operational performance.
Debenhams Group also expects to significantly reduce net debt during the current financial year, supported by stronger trading and the disposal of its remaining non-core property assets. These include a distribution warehouse in Burnley, which has been put up for sale with an asking price of £30 million.
The latest guidance suggests the retailer’s transformation strategy is continuing to gain traction as it focuses on rebuilding profitability while simplifying the business.
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