New Look flagship set to smash targets

New Look's Oxford Street flagship is beating sales expectations, but first-half like-for-like sales at the rest of its stores have fallen.

Chief executive Stephen Sunnucks said the showcase London outlet is well on the way to beating the target of£20 million in sales during the financial year.

'At the moment, the Oxford Street store is trading ahead of targets,' he said. 'The areas we created as destination areas, such as the lingerie and shoe sections, were particularly well received. People especially like the pink trolleys.'

The value fashion retailer's trading statement, released last week, revealed a 3.6 per cent fall in comparable store sales in the six months to September 27. Sunnucks said the trend for cheap vest tops over the summer hit New Look's average selling price. At the peak of the heatwave - the six weeks to August 23 - like-for-like sales were down 7.8 per cent.

The autumn range is selling well, with like-for-likes for the five weeks to September 27 up 1.4 per cent, he added.

Sunnucks expected sales in the second half to improve, but said New Look is up against very strong comparatives.

Founder Tom Singh is interested in taking New Look private. There has been speculation that he will raise his offer above the 330p per share indicative proposal that is understood to have been made.