Harvey Nicks' profits dive
Saturday 21 March 2009
The upmarket department store Harvey Nichols has revealed it expects profits to slump by 40 per cent this financial year, as the credit crunch hits its well-heeled customers.
Joseph Wan, the chief executive, said that Harvey Nichols had suffered a "sudden" and "significant" drop in sales following the collapse of Lehman Brothers and the banking crisis. He told Retail Week, the trade magazine, that sales were in "freefall" from October but had stabilised after the winter sales.
For the 12 months to 31 March, the retailer forecasts that bottom-line profits will be down by 40 per cent to £10m. Group sales are likely to fall by around 5 per cent.
Mr Wan said: "A lot of wealth has evaporated and cannot be replaced overnight." He added: "The total consumption pool has shrunk since last year."
The retailer's UK stores include London, Leeds and Birmingham, while overseas it has a presence in the Republic of Ireland, Riyadh, Hong Kong, Dubai, Istanbul and Jakarta.
- 2 18th century sex toy found in 'toilet of sword fighting school' in Poland
- 3 US? China? India? The 10 biggest economies in 2030 will be...
- 4 'I wish my teacher knew...': Young students share their 'heartbreaking' worries in notes
The only black face in the Ukip manifesto is on the page about overseas aid
If I’m being racially abused I don’t need a stranger with a saviour complex to rescue me
Ukip is the only main political party to not address LGBT rights in its manifesto
Food banks: One million Britons will soon be using them, according to Trussell Trust
BBC election debate: The one photo that summed up the whole 90-minute leaders debate
Religion isn't growing, it is becoming vigorous in its demise, says philosopher AC Grayling
iJobs Money & Business
£20000 - £25000 per annum + OTE £45,000: SThree: SThree Group have been well e...
£50000 - £667000 per annum + excellent benefits : Ashdown Group: IT Manager / ...
£13000 - £20000 per annum: Recruitment Genius: Scotland's leading life insuran...
£40000 - £45000 per annum + benefits : Ashdown Group: Training Programme Manag...