• Selfridges full-year operating profits fall 1.9%
  • Sales jump 5% to £1.4bn in the year to January 30
  • Bottom line dented by £300m Oxford Street revamp

Selfridges has suffered a dip in full-year profits after investing heavily in revamping its flagship Oxford Street store.

The upmarket department store business posted a 1.9% drop in operating profit to £152m in the year to January 30 after kick-starting its £300m refurbishment of the London location.

The extensive revamp of the store, which has already included the launch of a new 20,000 sq ft Designer Studio and the 37,000 sq ft Body Studio, will be completed in the spring of 2018.

Selfridges said its stores in Manchester, Birmingham and the capital performed “above average” during the year, as total sales jumped 5% to £1.4bn.

In documents seen by The Times, Selfridges UK boss Anne Pitcher said the Oxford Street refurbishment programme represented “the biggest single capital investment by a department store anywhere in the world.”

She added: “I firmly believe that the continued investment in our stores to create a real reason for people to go shopping, supported and accompanied by a great website allowing 24/7 access around the world, is the absolute win for any great retail brand of tomorrow.”