Debenhams Issues Profit Warning

London-based department store chain Debenhams has – for the third time this year – issued a profit warning prior to releasing its earnings reports, citing a tough retail climate.

Last week the company stated that it had “reassessed” its expectations for the year. Now it expects its pre-tax profits to be in the range of $46.1 million to $52.7 million (converted from British pounds), though market consensus is $66.2 million, according to Women’s Wear Daily.

The company has cited that its lowered expectations are due to increased competition with lower prices and weakness in key markets. It hopes to combat the difficult market climate by 2019 by focusing on mobile, increasing digital sales, and sustaining its position as a leader in beauty by engaging customers in-store and online. It also says it will explore smaller-format stores.