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Published
Oct 27, 2016
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Selfridges full year profits hit by ‘unprecedented’ investment

Published
Oct 27, 2016

Privately-owned upmarket department stores group Selfridges saw its full year profits slide in the 12 months to January 31 hurt by a company-wide investment programme.


Selfridges


According to The Times, the retailer reported a 1.9% fall in operating profits to £152 million, despite gross sales rising 5% in the period to £1.14 billion.

Selfridges invested over £300 million into its London flagship store and online site as part of an “ambitious” revamp plan to strengthen its brand appeal. The company is already two years into the transformation of its London store, which is due to be completed in 2018.

The investment marked an “unprecedented level of capital expenditure”, said the company.

According to reports, spending grew among both overseas and domestic customers, however the UK continues to be the largest market for the company accounting for 70% of sales.

The strong trading performance helped the retailer deliver the tenth consecutive year of record sales. Selfridges’ stores and online sites are visited by over 2 million shoppers every year.

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