John Lewis sales drop

Jun 28 2008 by Peter McCusker, The Journal

DEPARTMENT store chain John Lewis says business suffered last week as shoppers shied away from home and big-ticket electrical items.

Sales at the partnership in the week to June 21 fell 1.2% compared with last year’s. It is the sixth decline in seven weeks for the group, seen as a bellwether for the retail market.

Sales of £45.45m were weighed down by a 5.3% dip in electrical and technology items and 7.3% for home goods, against a 7.2% lift for fashion.

Sales in the 21 weeks to June 21 are up 1.2% against last year’s – a “clear reflection of the more challenging environment”, according to managing director Andy Street.

He said: “The June trading month finished as we expected, with a headline score below the rain-sodden return from 2007.

But fashion had shown marvellous progress, Mr Street said. “Inevitably, home was much tougher, with an overall shortfall against 2007.” Sales at Newcastle for the 21 weeks fell 4.3%.