Selfridges delivers double-digit sales growth on the back of luxury tourism boom

 
Helen Cahill
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Selfridges Unveils Its Christmas Window
Selfridges has already opened its Christmas shop (Source: Getty)

Selfridges posted double-digit growth in both sales and profit last year as it benefited from a rise in luxury tourism in the capital.

The figures

For the year ended 28 January, Selfridges' sales grew by 16 per cent to £1.6bn. Operating profit also jumped up, climbing by 18 per cent to £180m.

The department store said its website has seen better-than-expected growth.

Why it's interesting

Selfridges, like many of its peers in luxury retailing, has benefited from an influx of rich tourists into London following the fall in the value of the pound. And, it has been bolstering its performance with a £300m investment into its website and stores.

The department store said the expenditure programme has already boosted online sales. Selfridges also opened the first section of its new accessories hall, with the second section set to open at the end of November. The retailer will finish the project in the summer of 2018.

Selfridges has also been developing its stores outside of London. It has been refurbishing both its Birmingham and Manchester outlets.

The luxury store's success is in stark contrast to Debenhams, which announced a 42 per cent fall in full-year profits this morning.

What Selfridges said

Paul Kelly, managing director at Selfridges, said: "Selfridges has delivered excellent results for 2016-17, achieved by the success of our long-term planning and implementation of an ambitious programme of capital expenditure across all channels and stores.

"This programme supports our drive to remain at the forefront of global luxury retailing."

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