Debenhams shares dip after warning over profits fall

<p>Debenhams expects its profits to be down for the first half of 2013.</p>

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.

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