BusinessCompany NewsDebenhams CFO departs as tough trading hits home

Debenhams CFO departs as tough trading hits home

Days after a profit warning, Simon Herrick steps down from the high street retail giant

Debenhams CFO departs as tough trading hits home

DEBENHAMS’ CFO has stepped down, days after the retailer released a profit warning.
Simon Herrick has resigned from his role, and will leave the company on 7 February. His departures caps a tough week for Debenhams, after being accused of issuing a ‘Santa tax’ on its key suppliers, then issuing a profit warning.

A letter from Herrick had called on the own-brand suppliers to make a contribution – calculated at a 2.5% discount on Debenhams’ open orders – towards Debenhams’ refurbishments, according to reports. The retailer denied it was an attempt to boost its trading figures.

On 31 December it revealed an expected profit before tax of £85m for the first half of its financial year, following worse than expected Christmas trading, compared to £114.7m in the corresponding period a year earlier. Debenhams blamed declining high street footfall, an “unprecedented level” of promotional activity, continued pressure on household incomes and the impact of unseasonal weather on clothing-related sales.

A search to find Simon’s replacement is underway. Neil Kennedy, director of finance, will assume the role of acting chief financial officer on an interim basis.

Michael Sharp, chief executive of Debenhams, said: “On behalf of the board, I would like to thank Simon for his hard work and contribution over the past two years. We wish him well in the future.”

Debenhams share price has fallen to 72.2p from 93p in the last month, valuing the company at £885.27m by market cap.

For more companies and markets data visit the Share Price Centre

Related Articles

Ex-Sage CEO & FD joins Wandisco as chairman

Company News Ex-Sage CEO & FD joins Wandisco as chairman

4y Rachael Singh, Writer
PwC: RSA's problems limited to Irish operation

Audit PwC: RSA's problems limited to Irish operation

4y Kevin Reed, Writer
Costa FD swaps coffee for Moneysupermarket.com

Company News Costa FD swaps coffee for Moneysupermarket.com

4y Rachael Singh, Writer
Ex-Centrica finance chief to head up Cable & Wireless

Company News Ex-Centrica finance chief to head up Cable & Wireless

4y Kevin Reed, Writer
Tesco FD on receiving end of shareholder criticism

Company News Tesco FD on receiving end of shareholder criticism

4y Kevin Reed, Writer
Ex-International Power CFO named Imperial Tobacco chair

Company News Ex-International Power CFO named Imperial Tobacco chair

4y Rachael Singh, Writer
Finance function is ‘root of small company underperformance’

Company News Finance function is ‘root of small company underperformance’

4y Richard Crump, Writer
AstraZeneca names new CFO as profits dip

Company News AstraZeneca names new CFO as profits dip

4y Richard Crump, Writer