Member Info for Reardon95

Https://www.retailgazette.co.uk/blog/2025/09/debenhams-group-evri/

Now 7th in UK for it's category.

https://www.similarweb.com/website/debenhams.com/#overview

New lows everyday….

All I can say is this company is in much better shape than it was 12 months ago. This is now set up adequately for the turnaround plan to be executed. They will likely dive in to bricks and mortar at some point.

Why would Finley sell PLT if it wasn't for the right price and it is now profitable and we have plenty of scope on our new debt facility and a long time until it expires? Would make 0 business sense.

SHEIN have single handedly destroyed the margins of youth brands. PLT generating over £400m in revenue to lose money. It is better in their hands. We will have a level playing field if De-minimus is introduced in the UK. I am anticipating the UK will follow suit in the next budget in line with the US and EU. If SHEIN want to keep growing at the rate they are the will have to start acquiring, they have the financial might to easily swallow the whole group. I am happy the business is focusing on Debenhams in the meantime whilst we clearly are fighting with one hand tied behind our back.

Honestly, I think they could get at least £200m for PLT alone. All brands are now trading profitably as per the last update. Looking at Glassdoor reviews there has been some heavy redundancies across all areas of the business. They are mentioning being over worked an underpaid. This is better than the opposite. Dan being mentioned as a micromanager which to me at least shows he is highly engaged and interested in his teams output. More redundancies expected here. With the focus on Debenhams and marketplace in particular it really does not need anywhere near the staffing levels of the old model.

Buy DEBS for high growth in Debenhams and attractive disposal price of Youth Brands and National and International Distribution centres.

I don’t think it’s a coincidence they’ve refinanced for a 3 year period giving them more than enough time to find a buyer. Albeit it’s at a higher rate but this gives the headroom to achieve a market value price for PLT. Also, when PLT is sold this business will likely be back to net cash.

PLT still contributing some £400m in revenue. Even in a business under transformation where the majority of marketing spend will be towards Debenhams. Most of the overage stock was likely held by PLT hence the poor performance. It really needed a complete overhaul which has now been completed and swiftly by looking at the accounts. It is still a business of considerable size, huge brand recognition and let’s face it, it could be a gold mine again in the right hands (SHEIN). Looking at other recent valuations achieved in the UK and bear in mind these are much smaller companies when just looking at revenue (Adanola, Represent) then of course the TOPSHOP brands. If you are comparing these valuations on similar metrics PLT actually looks very good value at £200m.

The market hates DEBS and stuttering Phil Ellis

Shein actually tabled an offer of over £215 million for the topshop brands…

Https://www.drapersonline.com/news/clothing-sales-grow-strongly-in-july-as-overall-retail-falls?utm_medium=Social&utm_source=LinkedIn#Echobox=1757058310-1

If you re-watch the presentation there are some big green shoots in there. 90% of stock > 6 months old. Clean stock, relevant and bought for the right money.

GMV post returns actually grew up 1% as the returns level was significantly improved. Operating costs massively down, more to that to come with PLT sale, Burnley closure and hopeful sale of the US distribution centre.

Overall, this was going to be a tough set of results but the next trading update should give us a clearer picture where this business is heading. It’s very positive to hear that all brands are now trading profitably.

For now I am ignoring the daily lows of the share price. I’m impressed with what Finley has done with regards to managing costs and making decisive decisions. Also, the hefty buys from Carol shows she is fully behind the new vision.

Let’s hope for better times moving into 2026!

I’m sure this was alluded to in the presentation or in the annual report. When asking why PLT not the labels Finley then mentioned the Topshop valuation and made specific mention to de minimis and a strategic partner and global leaders. SHEIN will want US warehouses as well as UK if de minimis is also scrapped in the UK. With Burnley closure and PLT being sold it is likely another 1300 or so staff off the books.

Personally I think that it’s a lot more advanced than you think. He would not of eluded to Topshops valuation if PLT’s was no where near it and also wouldn’t have mentioned a strategic buyer then a strategic partner. Coincidentally the Burnley site is closing early 2026 and they are hoping the PLT sale is to be sold before the end of the year.

As mentioned previously Dan would not outline a “strategic buyer” he would just note PLT was for sale. Also, they would not be closing Burnley if the deal was not finalised as they would certainly need the capacity to service PLT orders. Likely a good deal all round for Kane to take a £1m tranche of these bad boys at record lows,

I expect some more interference from Ashley moving in to next week. Perhaps Kamani will show his hand and buy more to try and re-install confidence with shareholders and sway his vote.

At what point is Big Mike going to make his move? This is painful...

Let's face it Dan is doing all the right things here. The frustrating thing is this should of happened 3 years ago. We should have been shutting distribution centre's not opening more internationally.