House of Fraser has posted its financial results for the 53 weeks up to 31 January 2015 and recorded a gross profit of £460.2m – stellar growth for the British chain.
The department store retailer witnessed record sales up 5.8%, while online sales increased by a colossal 32% on the 52 week basis – representing 15.4% of sales.
“Our online business has performed exceptionally strongly and has substantial future potential. The web store has been the largest single store in terms of sales for the last three years and, for the first time this year, it has become the most profitable store in the Group” said Nigel Oddy, CEO of House of Fraser.
The Group’s website was redesigned and its distribution system was enhanced to keep up with consumer demand.
House of Fraser attributes its growth profit success, up from £26.9m, to the “continued enhancement of store environments”, with the company’s refurbishment of its Bath department store driving sales growth of 30%.
The retailer is pleased with its start to the year, which saw sales for the first 11 weeks to Saturday 18 April increase by 6.5%. This has allowed House of Fraser to focus on pushing its global investments in 2015.
Plans have been outlined to open three large stores in three major Chinese cities – Nanjing, Chongqing and Xuzhou. It will open further stores in the Middle East and a second store in Abu Dhabi.
House of Fraser will also focus on redeveloping its stores in the UK.
“We are confident that the Group's business model, with our premium brand positioning and strong multichannel operation will ensure that House of Fraser continues to grow and develop for the foreseeable future. We are very excited by the future as we embark on the next phase of growth both in the UK and internationally.” Oddy added.