House of Fraser recorded its highest ever gross profit

House of Fraser recorded its highest ever gross profit

UK department store retailer House of Fraser has said the continued success of its key strategic pillars has resulted in another record level of sales and profit for the year.

The retail group, which was yesterday (15 April) acquired by Chinese conglomerate Sanpower Group, revealed EBITDA of GBP60.2m (US$100.6m) for the year ended 25 January. This was up 8.3% on EBITDA of GBP55.6m last year.

The company recorded its highest ever gross profit of GBP430.6m, up GBP26.8m on fiscal 2012.

Sales were up 3.6% on a like-for-like basis to GBP1.2bn, while online sales jumped 41% thanks to investment in the group's website, including a redesign and an improved distribution proposition.

Chairman Don McCarthy, who will step down once the Sanpower deal is complete, said: "During the year the management team has further developed the business, in line with our strategy. The market continued to be highly competitive and accordingly we were pleased to have delivered another improvement in group profitability and a reduction in net debt."