House of Fraser reveals 15% jump in first-half earnings

House of Fraser, the department store chain now in Chinese ownership, today revealed a near-15% jump in first-half earnings, boosted by online sales.

The 59-store chain said earnings had reached £8.6 million in the six months to 26 July, boosted by online sales that were up 29%.

Like-for-like sales rose 4.2% to £542 million.

Chinese conglomerate Sanpower bought an 89% stake in the group through its Nanjing Cenbest subsidiary earlier this year.

Mike Ashley’s Sports Direct retains an 11% stake.

The new owner plans a £150 million spending spree across its UK stores over the next four years to “improve the shopping experience”.

Current trading is also strong with sales in stores open more than a year up 5% for the first 34 weeks of its financial year.

House of Fraser chief executive John King said: “Earlier this month, Nanjing Cenbest completed the acquisition of House of Fraser, providing us with a strong platform from which to expand our business in international markets and to further develop and invest in our multichannel offering, our store portfolio, growing our house brands and introducing exciting premium brands.”