Investment in IT was crucial to Debenhams' strong results for the second quarter, according to the company's chief executive.

Pre-tax profits for the retail chain rose to £127m, up 13 per cent from £112m in 2006, but sales for the past year have fallen five per cent.

"Our new autumn/winter ranges are being well received and this, with the refitting of stores and investment in a new IT platform and distribution centre, is improving the customer experience," said chief executive Rob Templeman.

"Despite wider concerns about the macro-economic environment, we are confident that the changes we are making are benefiting the business."

Debenhams has spent £37m on refitting its outlets over the past year, a programme which has included the use of Radio Frequency ID technology to help measure in-store stock levels.

And earlier this year the retailer rolled out a new data conductor to help gather sales intelligence from its 124 high street shops.

The department chain is currently trialling a beta version of Neon, a new financial software system developed by Coda.