Sweet smell of sales at Merchant

HALF-YEAR profit before tax at perfume and department stores group Merchant Retail rose by more than 62% to £1.67m, with Christmas and the New Year sales yet to come.

High Wycombe, Bucks-based Merchant will have 76 of The Perfume Shop outlets by Christmas. Like-for-like sales there rose by 8% in the period to 29 September.

Total TPS sales were 29% ahead at £21.7m, enough to encourage Merchant to try out a sister company specialising in skincare, colour and makeup, to begin a store trial next year.

The total of 76 stores is 11 up on last time. Like-for-like sales in the Joplings, De Gruchy, Robbs and Tynedale department stores were 5% ahead at £25.6m, and 4% overall at £31.7m, helped by growing use of the group's Chargecard. Earnings per share rose 65% to 1.17p and dividend, at 0.35p a share, is up 40%.

Chief executive Philip Newton pledged to continue to reduce debt and said the second half should be good.