Debenhams, Britain's second largest department store group, said it was confident improvements it was making to its business would deliver some cheer for investors, as it posted a 24.5 per cent fall in first half profit.

The company, which has 240 stores in 29 countries, said on Tuesday group pretax profit for the 26 weeks to March 1st was £85.2 million , down on the £112.8 million posted a year ago.

The fall was in line with guidance given in a December profit warning when the firm said its margins had been hit by heavy discounting that nonetheless failed to spark a late surge in festive spending.

Reuters