Shares in Debenhams have dropped after the company stated it is expecting profits for the first six months of 2013 to drop.
The firm blamed bad weather on its poor performance and this saw shares in the brand drop by ten per cent during a two-week period in January.
In a statement, the department store chain revealed it ran promotional events in February focused on Valentine's Day and the half-term school holiday to boost sales.
"Although these events did drive some incremental sales, they did not fully recover those lost in January," said the company.
Debenhams added it believes its second-half forecasts are "robust" and sales will continue to grow as expected.
Kate Calvert, analyst at Cantor Fitzgerald, stated the results from the company raise questions about its "strategy and the sustainability of its UK profits short term", reports the Independent.
But Debenhams chief executive Michael Sharp claimed the fall in the company's share price and its profits is "purely" down to the snow.
Today (March 4th), shares in Debenhams are down over 13 per cent and stand at 81.23.
Learn about the sterling and forex trading at City Index.
GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.