- Wave of Debt Payments Facing US Government
- US Job Losses to Bottom out Next Quarter: NABE
- Obama Jobs Forum May Be More Political Than Practical
- Late Payments on Credit Cards Drop in Third Quarter
- Smallest US Businesses Borrowing Again: PayNet
- Little Sign of Inflation on the Horizon: IMF
- Kraft Weighs Higher Cadbury Bid as Rivals Circle
- MBS Program Should be Extended: Fed's Bullard
- Tyson Food Profit Beats Estimates
- S&P Stocks Trading at New 52-Week Highs
- Losey: Asset Allocation At Retirement
- Farrell: Obama Hectored, Ignored and Restricted?
- Don't Dwell on Investment Mistakes; Move on, Like Buffett
- CNBC VIDEO: Warren Buffett & Bill Gates 'Walk & Talk' at Columbia University
- U.S. Stocks Slip, Dollar Rises
- How Stock Investors Can Play Holiday Travel
- Time Lapse World Series Is A Great Play
- Hirschhorn: Greed...or Fear
MOST SHARED
- Wall Street Finds Profits by Reducing Mortgages
- CNBC VIDEO: Warren Buffett & Bill Gates 'Walk & Talk' at Columbia University
- Kraft Weighs Higher Cadbury Bid as Rivals Circle
- MBS Buyback Program Should be Extended: Fed's Bullard
- China Wind Power Reportedly Seeking $2.2 Billion in IPO
- Volkswagen to Triple China Sales by 2018
- China Should Stop Property Stimulus Now: Central Bank
Text Size 
Upmarket Australian department store chain David Jones posted a 9.3 percent increase in second-quarter sales, lifted by a bumper Christmas season, and raised its first-half profit growth forecast to between 23-25 percent.
That compares with its previous forecast of 8-13 percent.
"Our trading performance in January and the first two weeks of February was strong, notwithstanding the equity market fluctuations over this period," said Chief Executive Mark McInnes.
Successive hikes in official interest rates, most recently in February, a 20 percent dive in the stock market from last year's peak and flattening housing prices are all expected to put the brakes on retail spending this year.
The retailer, with 36 stores, has been helped by a buoyant economy and robust consumer spending so far, and by a shift down market at its larger rival, Myer, owned by private equity firm TPG.
But David Jones shares have fallen 24 percent this year on worries about a slowdown in consumer spending, against a 10.7 percent fall for the broader market.
David Jones said total sales increased to A$664 million ($598 million) in its second quarter, up from A$607.3 million a year earlier.
That beat market expectations of A$651 million, according to a Reuters survey of three analysts.
Over the Christmas period, sales of clothing, footwear and accessories and cosmetics did well, and McInnes said sales in all categories beat expectations.
Like-for-like sales rose 7.6 percent in the second quarter.
David Jones reaffirmed its forecast for net profit growth of 8-13 percent in fiscal 2008 despite the first half upgrade, saying it prefers to trade through the period and has tough comparisons with a strong second half in 2007.
Print
Email
- Warren Buffett and Bill Gates discuss the economy and other subjects with CNBC's Becky Quick.
- The show attracts a big TV audience every year, but this year it may take on even more importance.
- …you'll want to be prepared. Tips for getting the most out of the post-Thanksgiving shopping frenzy.
- Congressman Ron Paul explains to Squawk Box why he’s pushing legislation to audit the Federal Reserve.
- A Macau casino will open Asia's first Michael Jackson shrine after its owners made a key purchase at a US auction.
- CNBC’s technology reporter Jim Goldman guides you through the best gadgets to buy this holiday season.
Data is a real-time snapshot *Data is delayed at least 15 minutes