ANALYST VIEWS: DO DEBENHAMS’ FIGURES REPRESENT PROGRESS?
KEITH BOWMAN | HARGREAVES LANSDOWN
As with the broader market, investor nerves are being tested – same store sales have fallen, whilst management comments express caution for the consumer outlook. Nonetheless, the group’s ‘self help’ initiatives remain ongoing, while news in relation to a refinancing is positive. Debenhams appears to have a growth strategy.
CAROLINE GULLIVER | EXCECUTION NOBLE
Debenhams’ trading update was broadly positive, with weaker sales offset by better gross margin performance.
Debenhams is not as operationally geared as it used to be, and is no more geared to like for like or gross margin than Marks & Spencer.
FREDDIE GEORGE | SEYMOUR PIERCE
Like-for-like sales were weaker than I had expected, but there were positives that could help the shares, including the news on its accelerated debt refinancing. I think there are a number of factors which will lead to positive earnings growth over the next three years.